If you are a home owner with a risky mortgage then you might be at risk of foreclosure due to the current volatility of the sub-prime mortgage market. Here are some stats:
- Colorado – 2.99%
- Georgia – 2.45%
- Nevada – 2.43%
- Texas – 1.95%
- Michigan – 1.92%
- California – 1.17%
- United States average – 1.09%
Source: Realty Trac
It is turning into an interesting market out there – not only the “rah-rah” market of the past but a fluctuating market that will create chaos and opportunity for all people interested in either purchasing a home to live in or for investment purposes.
Cheers,
James Nexus
CompareYourLoans Contributing Editor
Basic definition of what can be a Risky Mortgage:
- Variable Rate Mortgage
- The mortgage payment takes up around 40-50% of your monthly income.
- High Interest Rate
Plenty depends on your own personal situation; please do not over extend yourself. Usually it takes a long time to build wealth – the get rich quick environment is extremely attractive and worth jumping on if you can distribute your risk effectively, but if you cannot distribute that risk (typically, monetary risk) then take the long road to wealth, build up a cash reserve and pull the trigger later in life after educating yourself thoroughly.
