Normally a rate drop would cause the public to knock down the door and start buying houses or refinance. Not so much in this economy but here is why you need to buy, if you can afford to buy, and feel reasonably safe in your job or profession.
Rates just cannot go much lower. Perhaps they will but likely not. In my area, primarily Northern Virginia and the District, housing prices have mostly stabilized and in some instances are going up. Multiple offers at or above the asking price for the best homes are not uncommon. Feels a touch like 2006 except the prices are much lower than 2006. The odds are prices won't be where they are now (low) in our lifetime nor will interest rates (low). It's time to get pre-approved for a loan and make the plunge. Here is the article from marketwatch.com on the interest rate drop.
If you need assistance in finding a home in Northern Virginia, Please contact me. I will help you find out what you can afford and we'll go find your dream home.