Mortgate Rates falling?

[peterb]

I’ve heard today that someone got a Wells mortgage refi for 5.5% fixed and that there’s a clause for recasting the interest rate at no charge should it go lower. Gotta love deflation.

[jpinpb]

So anyone think they are actually going to make a 30 year for 4.5%. I’m hearing talks of it for new buyers. Will this help the market or will sellers raise their price in direct ratio to lower rates?

[jpinpb]

So anyone think they are actually going to make a 30 year for 4.5%. I’m hearing talks of it for new buyers. Will this help the market or will sellers raise their price in direct ratio to lower rates?

[jpinpb]

So anyone think they are actually going to make a 30 year for 4.5%. I’m hearing talks of it for new buyers. Will this help the market or will sellers raise their price in direct ratio to lower rates?

[jpinpb]

So anyone think they are actually going to make a 30 year for 4.5%. I’m hearing talks of it for new buyers. Will this help the market or will sellers raise their price in direct ratio to lower rates?

[jpinpb]

So anyone think they are actually going to make a 30 year for 4.5%. I’m hearing talks of it for new buyers. Will this help the market or will sellers raise their price in direct ratio to lower rates?

[Nor-LA-SD-guy]

The 4.5 % rate could make things a bit more interesting at least in Socal

Has anyone given any thought to (it seems to me anyway) that no one is leaving the state ???

In 1981-4 the Auto industry left the state taking many people eastward with them,

In 1991-4 the Defense industry left the state in a big way again taking many people eastward with them,

That has to create Demand at some point, and may cause quite a bounce once things do start to turn,

Those I know will take Argument to what I say, but I have never seen the freeways or the stores so busy. I must live in a different Socal maybe.

[Nor-LA-SD-guy]

The 4.5 % rate could make things a bit more interesting at least in Socal

Has anyone given any thought to (it seems to me anyway) that no one is leaving the state ???

In 1981-4 the Auto industry left the state taking many people eastward with them,

In 1991-4 the Defense industry left the state in a big way again taking many people eastward with them,

That has to create Demand at some point, and may cause quite a bounce once things do start to turn,

Those I know will take Argument to what I say, but I have never seen the freeways or the stores so busy. I must live in a different Socal maybe.

[Nor-LA-SD-guy]

The 4.5 % rate could make things a bit more interesting at least in Socal

Has anyone given any thought to (it seems to me anyway) that no one is leaving the state ???

In 1981-4 the Auto industry left the state taking many people eastward with them,

In 1991-4 the Defense industry left the state in a big way again taking many people eastward with them,

That has to create Demand at some point, and may cause quite a bounce once things do start to turn,

Those I know will take Argument to what I say, but I have never seen the freeways or the stores so busy. I must live in a different Socal maybe.

[Nor-LA-SD-guy]

The 4.5 % rate could make things a bit more interesting at least in Socal

Has anyone given any thought to (it seems to me anyway) that no one is leaving the state ???

In 1981-4 the Auto industry left the state taking many people eastward with them,

In 1991-4 the Defense industry left the state in a big way again taking many people eastward with them,

That has to create Demand at some point, and may cause quite a bounce once things do start to turn,

Those I know will take Argument to what I say, but I have never seen the freeways or the stores so busy. I must live in a different Socal maybe.

[Nor-LA-SD-guy]

The 4.5 % rate could make things a bit more interesting at least in Socal

Has anyone given any thought to (it seems to me anyway) that no one is leaving the state ???

In 1981-4 the Auto industry left the state taking many people eastward with them,

In 1991-4 the Defense industry left the state in a big way again taking many people eastward with them,

That has to create Demand at some point, and may cause quite a bounce once things do start to turn,

Those I know will take Argument to what I say, but I have never seen the freeways or the stores so busy. I must live in a different Socal maybe.

[CA renter]

jpinpb wrote:

Will this help the market or will sellers raise their price in direct ratio to lower rates?

——————

I’d laugh if I weren’t crying…

The entire goal of this low rate is to keep housing prices elevated, which is equivalent to sellers raising prices (if homes were priced correctly to begin with).

That is why I absolutely despise low rates! It causes people to overpay for things because they are only looking at the monthly payment.

Buyers NEVER benefit from lower rates, only sellers and existing owners who can refi into lower rates will benefit. Interest rates and prices move inversely, assuming the payment is kept constant.

Unfortunatley, too many people don’t understand this, so we get bubbles everywhere. 🙁

[CA renter]

jpinpb wrote:

Will this help the market or will sellers raise their price in direct ratio to lower rates?

——————

I’d laugh if I weren’t crying…

The entire goal of this low rate is to keep housing prices elevated, which is equivalent to sellers raising prices (if homes were priced correctly to begin with).

That is why I absolutely despise low rates! It causes people to overpay for things because they are only looking at the monthly payment.

Buyers NEVER benefit from lower rates, only sellers and existing owners who can refi into lower rates will benefit. Interest rates and prices move inversely, assuming the payment is kept constant.

Unfortunatley, too many people don’t understand this, so we get bubbles everywhere. 🙁

[CA renter]

jpinpb wrote:

Will this help the market or will sellers raise their price in direct ratio to lower rates?

——————

I’d laugh if I weren’t crying…

The entire goal of this low rate is to keep housing prices elevated, which is equivalent to sellers raising prices (if homes were priced correctly to begin with).

That is why I absolutely despise low rates! It causes people to overpay for things because they are only looking at the monthly payment.

Buyers NEVER benefit from lower rates, only sellers and existing owners who can refi into lower rates will benefit. Interest rates and prices move inversely, assuming the payment is kept constant.

Unfortunatley, too many people don’t understand this, so we get bubbles everywhere. 🙁

[CA renter]

jpinpb wrote:

Will this help the market or will sellers raise their price in direct ratio to lower rates?

——————

I’d laugh if I weren’t crying…

The entire goal of this low rate is to keep housing prices elevated, which is equivalent to sellers raising prices (if homes were priced correctly to begin with).

That is why I absolutely despise low rates! It causes people to overpay for things because they are only looking at the monthly payment.

Buyers NEVER benefit from lower rates, only sellers and existing owners who can refi into lower rates will benefit. Interest rates and prices move inversely, assuming the payment is kept constant.

Unfortunatley, too many people don’t understand this, so we get bubbles everywhere. 🙁

[Author]

Posts