Option ARMs and other non-traditional loans

As our market has been rising at such a strong rate, it has been easy for borrowers to get into otherwise risky loans, knowing that their equity will ultimately rise and make up for any changes in their principal balance.

If the market changes, these loans will not be as favorable, but if you know what you're looking for and you know what your goals are, they may still be a great way to get the house you want.

Jack Guttentag has a good article on Inman News which discusses this topic and offers some good definitions, details, and potential pitfalls of these recently-popular mortgages.

As an aside, I currently have an option ARM on my house and plan on keeping it for at least a couple of years... maybe longer...