Take a look at rates compared to then and now: http://www.thompsonsrealty.com/Mortgage_Rate_History/page_1708965.html

The last peak at 1989 rates were higher than they are today and dropped pretty much until about 1994. Then they went up for 2 years only after which we hit bottom.

We starting a lot lower now, the prime can’t go much lower, but today mortgage rates are actually going up. Makes oyu wonder if anything can be done.