Rate future...scary!

Real Estate Agent with Ranch & Resort Group ​L​I​C​-​3​2​0​9​7

Rates are great but not much purchase action mostly refi's. After the refi boom is done what is next...

Just my thoughts here...

The gov't can't keep buying bonds and paper, they run FNMA and FMAC so not only are they buying the paper but they are guaranteeing it.

It seems like they are burning the candle at both ends and the one who will get burnt is you and I.

At some point they will have to turn over control back to the private market and when they do this do you really think the investors will be ok making 4.5%...?

Answer: No!

At that point the market will start risk based pricing and the risk is huge so at this point rates will go up when the Treasury runs out of money...

Anyone feel free to comment or correct.

Comments (2)

Jay Williams
Greenville, NC - Greenville, NC
Mortgage Loan Officer - Getting You The Right Loan

Nathan, I agree with you at some point the government will pull back if not out. When they do we will at least go back to what has been the equilibrium for the past few years.

I have written something similar myself. Check it out and tell me what you think.


Jan 20, 2009 02:17 AM
Debra Cernick
DeShazer Ryan Realty - Libby, MT

Nathan;Hello- I am trying to set up a new group-

It seemed straight forward but keeps giving me an error about the name.

Any hints-would be appreciated

Mar 13, 2009 09:21 AM