Weren't Interest Rates Supposed To Come Down? Episode 229

Weren't Interest Rates Supposed To Come Down?

well...actually...they did

right before the Fed Meeting announcement of a .25% rate drop on September 17

but the market had already priced in that .25% anticipated rate drop

so when the Fed chose to stick with the that

and not get more aggressive with a .50% drop

the market went in the only direction that it could

which was a slight rise in rates in the days after

now before everyone goes off the deep end

I think we are all gonna be alright

rates are near the lowest that they have been in the last year

and its very likely that the Fed will reduce rates again

twice more before the end of the year

watch for a .25% rate drop in October 28-29 and again December 9-10

that should casuse rates to be in the 5.875% range 

which we have been forecasting on this podcast for the past year

if you are the gambling type

and trying to time the market for the lowest possible rate

keep a close eye on things right before the next Fed Meeting

if you believe that the same thing will happen as last week

where the rate drop was followed by a slight bump up

that would be your sweet spot to lock in

for most people - the idea of rates in the low 6's is welcome news

and very few will attempt to time the market

this could very well lead to new inventory hitting the market

as the gap between the mortgage rates for home purchased in the last 5-10 years

is narrowing with the current rates available

most of the leading indicators are showing that rates will continue to drop

tune in to today's show for the down and dirty details