Reply #10: I Topped out at 12.25% [View All]

[ramapo]

We bought in 1981 after enjoying earning interest on our down payment at something like 14%. Could only qualify for an adjustable with a "low" entry rate of 10.25%. It was a one-year adjustable so we went up to 12.25% in 1982.

All in all we did ok with the adjustable and the risk was somewhat limited with 2%/5% yearly/lifetime caps.

Rates came down but prices sure went up. We paid $68,000 for a house that today lists at $400K+ and property taxes are much, much higher.