Skydive Monterey Bay - New plane, DZO

[Elisha 1]

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I attempted to PM you this, but you have that turned off, you must be famous in Speakers. We digress here...

I don't do lending yet, but all my stuff for first time buyers has been 100% financing. Pretty much everything else is 5 to 7 year fixed ARMS. Even before the big ARM/3-5 year fixed thing, people were moving every five years or so. For folks who do that, a 5 year fixed 30 year ARM is the way to go.

Where people are blowing it is in not reinvesting their equity in their property. If they take on average half their equity gains each year and spend them on consumables like cars and vacations, when they get to the 30 year point they have the equity of half the house they are living in, and they have mortgage payments till the day they die. By 65 people want to have the ability to consolidate their investments and own at least one house.

Now, I can't take any equity out - I have 3 loans! I'm HOPING that 2 & 3 are forgiveable, but didn't see it on any of the paperwork last time I looked. I just hoped I looked in the wrong place. I have 100% financing FHA/CalHFA loans - a 2nd and 3rd silent mortgages and just pay on the first. Sure, I pay almost $100/month in MI, but I don't pay anything on loans 2 & 3 and all 3 are 30 yr fixed @5.0%. I probably SHOULD have refi'd all three for a 5 yr ARM around 1.5 yrs ago, but too late now. Still, I just wish I COULD take out a HELOC (home equity line of credit) if I wanted - much better iterest rate than a credit card!

[Deuce 1]

That's all OK if your equity is outpacing your interest rate. It's OK if at the end of the year you've gained more equity than you have spent in financing it.

You'd probably be better off consolidating those.

In my market, you can rent a house for $1700 that would cost you $3000 a month to mortgage at 100%. However, a $600,000 house is forcast to gain $60,000 in equity this year, and you can write of the finance interest, still.

It's a tough call.

[Elisha 1]

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That's all OK if your equity is outpacing your interest rate. It's OK if at the end of the year you've gained more equity than you have spent in financing it.

You'd probably be better off consolidating those.

In my market, you can rent a house for $1700 that would cost you $3000 a month to mortgage at 100%. However, a $600,000 house is forcast to gain $60,000 in equity this year, and you can write of the finance interest, still.

It's a tough call.

No, now it is a REALLY tough call, favoring holding where I am. 1.5 yrs ago it was tough, but leaning toward refi. I should've done it back then, but se la vie. My place is only a 2bd/1.5 bath 25 yr old townhouse which I can barely afford the payments anyways and must rent out the other room just to skydive/payoff debt. Still, I have over 100K in equity that I didn't 2.5 yrs ago when I bought it.

[rmsmith 1]

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I attempted to PM you this, but you have that turned off, you must be famous in Speakers. We digress here...

I have my personal e-mail address listed in my profile, and it forwards to two different IMAP e-mail servers, one on each coast.

[sfc 1]

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Close... Greg Nardi and Dave Stewart did own Hollister for a while. That place turned in to a tandem factory and Dave sold his part. Greg eventually sold it to Tim Sayre and Tim really turned the place around and let it be fun again.

I'd second that after moving to H-town from SMB a few years ago. Tim & Monique really made the difference. Last w/e he let the KA fly with 6 fast packers to 15K at sunset, kinda makes you feel good about your home DZ.

btw I heard that Jess only sold 50% of SMB.

[gjhdiver 0]

[replyThe problem with Monterey regarding skydiving is mostly one of perception. Even when they had an Otter, people drove further to get to Davis, Byron, Lodi, and Hollister.

[idoru99 0]

I completely agree. Even with my low numbers, I've realized that. That's exactly why the regular upjumpers there are really trying to make people feel welcome. Things started to change a couple months ago and it's slow going to change the atmosphere, but I believe it is moving in the right direction.

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The greatest risk you take in life is the risk you don't take.

[brianfry713 0]

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btw I heard that Jess only sold 50% of SMB.

I think Greg is now the full owner. They did a 50-50 ownership for a little while.

BASE 1224, Senior Parachute Rigger, CPL ASEL IA, AGI, IGI
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