So taking out a loan against the property at a relatively low interest rate is an option.
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One reason is that, in closely integrated economies, firms and individuals tend to switch between currencies in response to interest-rate differences, an option that will shortly disappear for European countries that adopt the single currency.
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The option ARM allows borrowers to pay less interest than the formal rate for a limited period (the vast majority of customers choose this option).
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The tradeoff here is that you typically give up a bit in the way of stated interest rates in return for the option to raise your rate.
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And the price of an option to pay or receive a fixed rate of interest in dollars for ten years has been falling sharply of late.
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