Will mortgage rates be going up or down over the next 12 months?

Question

I'm trying to decide whether to refinance now or to wait and see if rates will drop over the next year. Does anyone have any thoughts about which direction rates will be going? I've heard from some people that rates will rise due to the bank closures (which means less supply) and someone else has said that rates are high right now and will be coming down at some point in the next 12 months.

Answer 1

yes

Answer 2

most likely they will be going back up, since they have come down quite a bit. The mortgage industry is like a wavy line, going up, then down, then back up, then back down.

If you are worried about paying lots of interest fees due to a mortgage, consider the use of a money merge account.

Answer 3

I have one of those "magic eight balls" that are sold in the stores.  It says that rates will go up.

Answer 4

YES they will be going up and down!

Answer 5

The Feds are talking about raising rates by October or November.  The question is how will this affect mortgage rate.  For example, when prime was lowered the most recent time, mortgage rates went up.

Rates have been increasing since the beginning of the year. So, you need to make the decision.  Is it better to risk the rates will continue to rise, with the hope that they will go back down?

Whether now, or in the future, I would be happy to assist you.

Answer 6

The Fed will continue to do anything possible to engineer rates lower or at least leave them unchanged.

However, fixed rates (which most people want these days, for a number of reasons) are determined by the secondary market, which is where mortgages are bundled as mortgage-backed securities, and sold to investors. These rates are not determined by Fed action, as opposed to ARMs and the Prime rate. Fannie Mae and Freddie Mac are the big players in this market, which is why their insolvency, as well as the failure of Big Banks such as IndyMac, are such a threat to our Economy. This is also why the Fed will bail these guys out at all costs, even if it means future generations will be saddled with insane amounts of debt, and speaking a primary language other than English.

Add to that the crushed dollar, inflation, unprecedented food and energy costs, unemployment, aging Boomers, maxed-out consumers, etc. ..... none of which helps.

I mention all that to get to this. In my opinion, a year from now rates will be higher, lending guidelines will be tighter, and home values will be lower. I hope that I am wrong, but the data and All That They Are Not Telling Us indicates that this will be the case.

Again, that's just my opinion.

Answer 7

flip a coin

head they will go up, tails they will go down

Answer 8

rates will go up and rates will come down. they do all day everyday. some days the go up all day. some days they come down all day. some days they go up and than come down again. you need to speak to a mortgage planner and someone who is certified in mortgage lending and can be trusted to advise you at when to pull the trigger.  Depending how big your loan is a .25-.50% in rate may not be a huge difference.  Dont wait talk to someone who can look at your complete situation and give you the proper advise

Answer 9

None of us has a crystal ball.  Your guess is as good as ours.  You only know the information that is available to you NOW, so act on that.  Are you a gambling man or not?  ;)

Answer 10

The only guarantee is that rates will either go up or down, or stay the same.

Act on what information you have now.

Answer 11

Here look on this web site and get a rate quote to see if you like the term and will it help  on your payment.  I'm pretty sure you will like what you see.  You can shop on line and if you find the rate that you like.  You can just apply on line.

http://www.amerisave.com/partner/chongth...