Mortgage Blog

If you played the maze game before, sometimes you might stay inside for a long time, and you could not figure out how to get out. But if there was another person who stayed on the top of the maze(or somewhere from the sky), they could figure out how to get out pretty easy.

It is the same for the stock market investment. You will have to stay out of the market for sometime, or do not watch or touch the market for a period of time.

We talked about the stock markets over the weekend. I stayed very calm about the up and down, and my friends were surprised to find out I could stay so calm when I am fully invested. I told them that I am not worried at all if I plan to invest for the next 25 years. Today's market would be very low compared to the future numbers in 20, 25 years.

I have another client who is very conservative. We talked about whether she needs to refinance for the current ARM. She had 5/1 ARM for 2.25% before, and will reset this year. And she said that she would not refinance any more, and would just payoff this loan. According to her, 3.75% CD rate is not bad for her to pay it off since there is no tax benefits to hold this loan any more. It is a smart way for her since she does not like stocks. 3.75% after tax return is not bad either.