Well it's about time someone stepped up and realized the right thing to do to help out!!! Cheers to Wachovia! We have published posts on www.InvestSmarter.com about this insane ARM loans and the overextending issues around them as they state below. But finally a lender is stepping up to the plate to agree...of course they have to have a lot of these loans passed due...but at least they are making a statemetn. Of course the 70% drop in their stock probabaly didn't help much!
Wachovia to End Option ARM Loans Wachovia announced Monday that it would stop offering option ARMs and allow existing option-ARM borrowers to avoid prepayment penalties.Option ARMs give customers multiple payment choices, including paying less than the interest due, which means loan balances increase.More than 18 percent of the option ARMs originated in 2005 and 2006 are already at least 60 days past due, according to Barclays Capital, which examined loans that had been packaged into securities.Wachovia’s shares have fallen 70 percent in the last year and this could make the stock fall further.Source: The Wall Street Journal, Valerie Bauerlein and Ruth Simon (07/01/08)
There are some great deals in today's market place based on this so who really knows what will end up happening. Stay tuned to www.panama-city-beach-florida-mls.com or www.panama-city-beach-florida-real-estate.com today to see a little more about the wonders of this market and some of the ever changing properties that are available.
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