The money markets responded to this week’s increase in the debt ceiling of the US government by selling off stocks, and driving mortgage rates even lower than the almost records lows they’ve been at. How low can they go? With 30 year fixed rate mortgages running in the 4’s almost the whole summer, my guess, not much lower, if at all. They can’t just GIVE money away to buy a house. Mortgage rates tend to run with inflation expectations, usually a little above what ‘those that know’ think long term inflation will be, and NO ONE thinks it is zero. So if you are waiting to buy a home in Colorado Springs until money is free, it will be a long wait 🙂 My best suggestion would be to take advantage of the situation NOW, because we may not pass this way again.
© 2011, Rick Van Wieren Real Estate, Inc. All Rights Reserved. On republishing this post you must provide link to original post.