In an effort to keep people in their homes and encourage more home purchases to reduce the Federal Reserve interest actions were successful. Many homeowners have taken advantage of low prices and bought homes or refinanced their current mortgage. However, prospective homeowners who are not used, the savings should consider acting quickly as many industry analysts say that the low interest rates soon end.

Mortgage rates have seen a remarkable dropas low as 4.5 percent after President Obama has been announced for refinance mortgages stimulus package as well as the Federal Reserve's announcement in November last year about their plan, "as much as 500 billion U.S. dollars of securities of Fannie Mae (FNM.P) backed Freddie Mac (FRE buy. P), and Ginnie Mae. "mortgage experts are now warning that the low interest rates for mortgage not going to last. Celia Chen, senior director of housing economics at Moody's Economy.com in West Chester, Pennsylvania: "TheDownward trend we have seen in mortgage interest not long after the end of the first half of this year. "She went on to say:" Until then, will the Federal Reserve program runs its course and other issues will push to the fore, that mortgage rates could move higher. "Chen also said:" By the first quarter of 2010, the prices should be at 5.87 percent. "

The reasons to start raising interest rates to a rise in public debt and a positive outlook that the economyBeginning to rebound. This may be the ideal time to secure a mortgage or refinance an existing mortgage, because the economy begins to recover, begin to raise interest rates. For example, the economists who have reported recently that "was last year, the yield on the 10-year Treasury only about 2%. Recently there was an increase to above 3.5% would have been." The result is that the Interest rates on loans and mortgages they got will resume. As well, 30-year loan rates have seen a jump.Recently, the average interest rate rose to 5.27%. This is up to about 4.75%.

Greg McBride, senior financial analyst at Bankrate Inc. in North Palm Beach, Florida, says: "Expectations of a 30-year fixed-rate mortgage at 4.50 percent is too ambitious. Inflation worries spook investors may begin to send and Treasury could higher returns, would result in a corresponding movement in higher mortgage rates. "

Cameron Findlay, chief economist at online loan brokerLendingTree.com in Charlotte, North Carolina, says: "Mortgage rates to 4.50 percent remains possible but not probable." As well, interest rates, Moody's Economy.com '4.5% forecast by mid-2009 after dipping to a low of 4.37% in the second quarter. In the third and fourth quarters, prices are expected to 4.57% and 5.18% increase. "

If the prices continue to rise in humans, the superior, refinancing an existing mortgage, buying a new home or selling their new home, may misswait on a lot if it too long. This is perhaps the best time to lock in a low interest rate mortgage.

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