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How low can rates go?

by sfishome on October 9, 2010

Mortgage interest rates keep dropping.  Per this MSNBC.com report they are at their lowest since 1971 at 4.27 on average for a 30 year fixed rate.  

Average rate for 30 year, fixed rate mortgages

I know one home owner who is doing his second refinance in 6 months.  He told me this second re-fi will pay for itself in monthly savings in about 9 months (the cost of getting the new loan divided by the savings in lower mortgage payments) so it’s an easy decision to make.  But if the above chart is any indication he just might be doing another one 6 months from now.  I read one wild prediction of 0% interest rates down the road – don’t bet on that happening, but remember in late 2008 when some suggested the government offer all owners 4% interest rates to save the housing market.  Getting there is a bet you might want to make.

Interested in taking advantage of these rates with a home purchase then start your search at www.SF-MLS-Search.com, a service of the SFisHOME Real Estate Group, San Francisco’s premier Real Estate team of Rob Regan and Ciara Piron.

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Rates on the rise
February 5, 2011 at 3:09 am

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