Our Market Today

Possible lower interest rate in our near future.

Even Freddie Mac economist, Frank Nothaft, was talking up the lower rate scenario, saying they were due, at least partially, to a slower than expected rate of economic growth. In fact, mortgage rates did ease slightly on the early bond news. The 30-year fixed-rate now stands right where it was one year ago. Whither they goest? Not surprising, you can take your pick of scenarios. One proclaims a continued weakness in housing, but with a soft landing, which leads to a soft economy and stable or lower rates. The other, seemingly the view of some Fed members, notes the low unemployment rate, smaller gains in productivity (which help offset costs) and a rebound in the economy next year.

Preferred Mortgage & Bobbi Dickerson, loan officer