Interest Rates ?

http://finance.yahoo.com/news/Mortgage- ... et=&ccode=

30 year fixed 4.58% 15 year 4.04% Wow!

Something strange is going on in the markets right now.

Stocks look to be heading lower too.

Job numbers still look poor.

Are we heading into a double dip?

Interest rates are so low to attract buyers into the market. What is stopping the buyers from taking advantage of those rates is the new and improved lending standards which make qualifying for the loan much more difficult than in years past. You actually have to have some money to put down and be able to prove you can pay the loan back now before anyone will lend you money. Wonder how long it will take the Democrats to put such nonsense to an end citing unfair lending practices and the desire to open up opportunities for more families to own their own homes this time.

Conspicuously absent from the 2,000+ page Financial "Reform" Bill, which, like Healthcare "Reform" will have to be passed so we can find out what's in it, is any new reforms for Fanny and Freddie. I guess that Barney and Christopher still fail to see how their pet agency was involved in the housing crash. Another interesting curiosity is that the Democrats, while taking on another "landmark" legislative effort, have decided to delay the question of Fannie and Freddie until after the fall elections - along with an actual budget for the nation...........

Those interest rates are nuts! I plan to refinance soon.

Lowest rates in half a century. I guess free market principles of supply and demand are not quite as outmoded as many progressives would have us believe they are after all.........

Interest rate that are too low too long make for foolish speculation. There has to be some reality to the process. We haven't seen any for years. Savings erode and $ get put into things that helped create the RE bubble.Interest rate should at least reflect inflation +

My understanding is that mortgage rates follow the 10yr Treasury which has dropped, mostly due to Europe's problems and flight to "safety" of the US treasuries. It doesn't seem like the housing market can stand on its own without tax credit support. And strategic defaults are looming out there as people figure out they are underwater for good.

In June Manufacturing output numbers slowed, and consumer confidence dropped I believe. Not looking good right now.

I commented on another site about the housing industry being propped up by uncle sam. Seems that what we thought was going to happen - is exactly what has and will continue to happen.

Government subsidy does not work, it only prolongs the problem. The only thing that works - is to allow the free market to sort this out. That's the last thing this government will allow to happen - after they have exhausted every socialist step possible.

Interest rates are at a 50 year low - still nobody is buying! Why? Because prices are still too high. Think of all the billions of taxpayer dollars that have been spent to prop up this market - billions we have borrowed and must be payed back.

The market must be allowed to drop of it's own free will - the market will find a bottom- and buyers will return. The inventory backup will be cleared.

Only then can the housing market dig out of the bottom - and start the climb back up. Not only is this the best way - it's the fastest way.

We would have already bottomed out by now without the "government help". It could be years away - prolonging the pain - or we could just get it over with.

Everything I have been reading says that the Denver housing market is doing well. Up here, another story. There is not the amount of buyers that there use to be up here. Commuting, gas prices, uncertainty of the future could all be contributing factors. Then there are those that cannot buy because they cannot sell their house or those that cannot buy because they once had stellar credit, but now have bad credit. Outside of the huge tax advantage, sometimes renting does look appealing.

Some very good and insightful comments here. I'd like to contribute my experience in the "New" refi application process. We've been going through this for half a year now and there are constant changes in the qualification process. It is extremely difficult to qualify these days. We have an excellent credit rating, significant equity and good income, yet the process is difficult. Has anyone found a current refi to be less challenging?