5/1 or Fixed 80-10?

I'm so confused as to what to chose. We're closing in June. What are your experiences lately? Did you buy down your rate?

Message edited 5/9/2007 11:20:43 AM.

Re: 5/1 or Fixed 80-10?

We decided on the 80-15 fixed. We didn't like the unpredictability of an adjustable rate mortgage. Your payments could go up (or down) as much as $400 per month. In the end, we decided to go with the higher interest rate to get it fixed so we'd know our payment amount every month.

Re: 5/1 or Fixed 80-10?

we did a 30 year fixed. I wouldn't choose an ARM because I really love the idea of knowing exactly how much are payments are.

Re: 5/1 or Fixed 80-10?

fixed.

ETA: You'll have no surprises with a fixed rate mortgage. And, over the years, since your income will likely rise but your payments will remain the same, your mortgage will become even more affordable.

Message edited 5/9/2007 11:22:36 AM.

Re: 5/1 or Fixed 80-10?

we did an 80-10
we like that hte rate is fixed and we dont have to worry about it!

Re: 5/1 or Fixed 80-10?

It depends on what your plans are, if you only plan on beign in the house for 5 years the adjustablel might not be a bad choice if you can get a lower rate.

Personally we will do fixed as we will be planning on staying put for a long time!