Any belief how low mortgage refinance rates expected to drop.?
Answers:
I just read an article and it said rates are a little high than they were over the summer. Since the new housing numbers newly came out, I bet we'll see rates drop again soon. New home mortgages and refi's are at an 8 year low.
I guess it's all up to Prince Bernanke...
unless the Fed lowers the interest rate again, I would not expect them to drop - right in a minute, with the credit crunch, demand is probably highly developed than supply, a classic situation for an increase in rates, not a decrease. However, since most re-fi interest rates are tied to an index (LIBOR, 10-year T), emergency will not have quite as much effect as it might typically.
no one can answer this as it is adjectives market dependent and that changes adjectives day long
I get a mortgage for 4.75% when rates hit bottom a few years ago. They may get that low again.
The Fed Funds Futures are pricing in another 1/2 point rate cut by December. It could happen by the ending of November.
I don't know for sure if this will happen, but that is the current prediction.
The problem is the lower rate will serve all this massive US debt and home owners but will drive up inflation. I have be arguing for about a year that we run the risk of "Stagflation," (inflation with a recession).
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