10 year bonds under 1.5%

[lamboguy]

heading to even lower rates. this should mean that you can obtain 20 year fixed mortgages around 3 %..

mortgage rates are comprised in 2 separate segments, index-the rate of the basis of the loan,,,ten year bonds or libor on adjustable rates. currently the 3 month libor is .25%. margin-the amount of money that the lender makes on your loan. that part of the loan could be negotiable depending on who is selling the loan. it could be as high as 2.5% or as low as 1.5%. you simply add the index and margin together and you have your rate.

it just sounds like a good time to take out a loan if you can get one. the median fixed mortgage rate for the past 60 years is 3. 12%

[highnote]

heading to even lower rates. this should mean that you can obtain 20 year fixed mortgages around 3 %..


I'm in the process of refinancing. The best rate I've found is 3.85% for a 30 year mortgage. Of course, 15 year mortgages can be found at even lower rates.

I've been holding off because I think rates are going lower -- not sure how much lower they can go though. I suppose they could go to 0% in theory.

Here is the site I check regularly because this is the rate my mortgage is based upon -- the 60-day rate:

https://www.efanniemae.com/syndicated/documents/mbs/apeprices/archives/cur30.html

Check out today's 60 day rate -- 02.97549%

That is the lowest I have ever seen. Their online records only go back to 1985.

There is an old saying, "Low interest rates have long tails." Rates have been going lower for a long time now and will probably continue to do so.

[so.cal.fan]

This is very, very telling.
The dollar is a safe haven for world money.
We are still the "prettiest girl at the dance".

[lamboguy]

there were other crazy area's where you could have done some borrowing and made money with it. you could have borrowed money on margin for around 1% and bought dividend paying stocks that yielded 3-1/2%-5% and been alright the last 3 years. i wouldn't go out and attempt that now, you are liable to get in after the party and get yourself whipsawed into submission.

[Mike at A+]

1.5 is the new 5

[tbwinner]

Willing to go month-to-month rate adjustments?

http://www.bloomberg.com/news/2012-07-16/zuckerberg-s-loan-gives-new-meaning-to-the-1-mortgages.html


A friend of mine just refinanced 180k on a 400k home from 30yr fixed at 6.50% down to a 3/1 ARM at 2.75% APR with a 7.75% lifetime rate cap.