Where do you see Mortgage rates heading?

Question

I'm closing on my house in November, what do you think a 30 year mortgage rate will be at? Any idea?

Answer 1

6.75% or higher.  As banks continue to fail, and have trouble raising capital to make new loans they will have to raise interest rates to gain liquitity.  Plus if the govt. bails out Fannie and Freddie, that will cost almost 25 billion dollars and investors will not see benefit in investing in bonds, thus raising the yield on the 10 year note and raising interest rates.  But we can't predict the future, many different things can happen to effect interest rates.  If I had a crystal ball,I would be retired....

Answer 2

We don't even know where the rates will be in 2 hours! 4 months! I hope you are joking! There is no one rate either. You are just going to have to hope for the best & wait it out. It just does not make sense to shop around for a rate today when you are not closing for 4 months.

Good luck