“True. But LIBOR rates tend to correlate with the FED funds rate. Currently the 1-year LIBOR is about 0.9% less than a year ago. Most of the drop has been since the FED dropped rates.”

But you are ignoring the spread between the Fed Funds Rate and the Libor rate. It is not headed in a favorable direction.

Second, how does the interest rate help an FB if their LTV has passed certain thresholds already? Especially given current lending standards.