Mortgage rates... Where are they?

I find that a lot of consumers have a very inaccurate picture of where rates are, so I felt compelled to say something on the topic. Last week ( December 7th) rates were actually the lowest they have been in 2006. They have clearly steadied out, and all economic indicators point to them staying at their current levels as we enter into 2007. click here

It appears that the gents at The Federal Reserve are pretty dialed in to where the economy is headed and that their decision to maintain current interest rates, without an increase during their past two sessions has paid off. The economy has slowed enough for them to feel truly confident that inflation pressures are abating, but not so much that a recession is looming. This is a great middle ground for us all.

When the 'Fed' gets together on December 12th, I anticipate rates staying right where they are. There really doesn't appear to be a need to move them in either direction for the time being. Of course wiser men than me sit on the board, so we shall see.

Regardless, mortgage rates should stay at these attractive levels for the short term, making now an ideal time to refinance into a fixed rate mortgage. Experts anticipate more than $400 billion in ARM mortgages entering their adjustable periods over the next 12 months. With rates this low, smart consumers are cashing in now. If you have an ARM, it might be time to act!