I wrote a few months ago that 2004 is the magic number for Loudoun. If you bought during or before 2004 and you need to sell your house now, you should still be able to walk away with a profit. Those of you (and by that, I also mean me) who bought in 2005 or later might want to sit tight for another year or so.My family also has an ARM, thought not a 3/1, and we bought in 2006, so we've got a little bit of flexibility in our schedule. The article is thoughtful and well worth the read for many of Loudoun's residents who got into the real estate market in the past few years.
But for some homeowners, waiting another year could be problematic. Why? Because so many buyers in 2005 and beyond bought their homes at the peak of the market using a 3/1 ARM, and their mortgage clocks are running out. And even though mortgage rates are still very low, they are high enough now that those buyers might not be able to afford the reset mortgage payments. - Redfin
Wednesday, August 27, 2008
On Loudoun ARMs
Redfin has an excellent post up today about the real estate market in Loudoun and 3/1 ARMs. Here's a taste: