Affluent Black County Mired In Mortgage Mess

[Boodleboy322]

Originally Posted by DrPhil

Thanks for explaining. As for the bolded, some mortgage lenders are advising people against ARMs whereas other mortgage lenders present ARMs as a wonderful, fool-proof option (which is why research is important). Either way, people generally may not be tossed into an ARM but, especially when using a mortgage lender that doesn't advise against an ARM, people are choosing the ARM either immediately or after not qualifying for the 15 or 30 year fixed rate. What eventually happens to a lot of people after that introductory rate moves to the prevailing rate has been discussed in this thread.

Which lender is underwriting ARMs for customers that do not qualify on a fixed rate mortgage? That sounds like a red flag.