Expect Mortgage Rates to Rise

If you’ve had refinancing on the brain, you may want to put that thought into action soon. The Fed recently announced the subsidies that have artificially pushed mortgage rates to record low levels through most of 2009 will end in the first quarter of 2010.   Read this article to get a summary of how and why the government has kept rates incredibly low, and why their slow pull out of the mortgage market will force rates up.  According to its author, “It is a given that once the Fed ceases its purchases (of mortgage-backed-securities), interest rates will climb significantly higher … most likely back above the 6 percent area.”

If you are an eligible homeowner who would benefit from a refinance, I encourage you to act now before rates go up.  Contact me and I’d be happy to determine what options you may have.