Virginia Beach Home Loans: Yun Says That People Are Waiting For Lower Home Prices and Lower Interest Rates... The Time Is Now! Buy, Refi, Take advantage of the squeeze!

Yun Says That People Are Waiting For Lower Home Prices and Lower Interest Rates... The Time Is Now! Buy, Refi, Take advantage of the squeeze!

The bond markets are poised to rally this morning. Jobless claims for last week rose 69,000 to 375,000; analyst were expecting a reading somewhere near 315,000. Consumer spending slowed in December to the lowest levels that we've seen since 2006. MBIA bond insurer lost 2.3 billion dollars in write downs and 3.5 billion total loss for the fourth quarter. Credit rating agencies are threatining to lower the cerdit rating of several bond insurers and the stock market is tumbling.

This of course is not good news for the economy overall, but it will drive mortgage rates very low and to some extent fuel the economy with a fresh wave of refinance business. I personally have around 7 people at bay who have been waiting for an opportunity like this to take advantage of and lower their overall monthly expenses.

The news of yesterdays rate cut (although not the prime rate) has given people the impression that mortgage rates will be much lower. They are correct about the improved mortgage rates but for the wrong reason. Rates will be going down sharply today because of the reasons that I mentioned above.

This is also a great time to purchase a home. A home purchase is a long term personal investment and rates are not going to get much better than they are right now. Prices are not going to get much better than they are right now either.

The housing market and the economy overall will recover. Typically rates are not at their all time lows when the economy is healthy. The opportunity exists right now to take advantage of the fact that rates are low and home are inexpensive. When the markets recover anyone who took advantage of this opportunity will realize an instant profit in equity, and they will be locked in at the terms and low rate obtained in todays market.

Christopher Ohlsen

37 Boynton Ave

(845) 243-5293 (Office)

(518) 565-0799 (Cell)

www.plattsburghmortgage.net

chris.ohlsen@guaranteedrate.com

 

 

Comment balloon 0 commentsChristopher Ohlsen • January 31 2008 09:19AM

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