067. Interest Rates at Its Lowest and May Even Go Lower Still

Hello and welcome to the Reside Daily Bite; I’m your host, David Doucette. And some very exciting news coming out of the interest rate department last week. The San Francisco Chronicle reported that interest rates have dropped, on a 30-year loan, to 4.19% – that’s the lowest rate we have seen in decades.

And a couple of interesting things about the interest rate, they’re also predicting it may actually go lower. And there’s a program there predicting that the Feds are going to be buying more treasury bonds that’s going to drive down the loan rates even more to try and boost the economy. Some are speculating that it could go lower than 4% on a 30-year fixed; some are predicting it’ s going to hover right around that. Either way, it’s great news for anybody who’s looking to buy a home right now.

And what’s interesting about the interest rates, is last spring the experts were talking about the end of this year the interest rates are going to be up by 6%. So buy now…buy now…buy now. Well, that hasn’t happened, probably because of some kind of double dip that were experiencing, I don’t know. I’m not saying that there’s a double dip.

But I want to put the interest rates in perspective. 10 years ago in October 2000, interest rates were at 7.8%. In 1990, interest rates were at 10.17%. Check this out, in October 1980, interest rates were 13.79%; and October 1981, interest rates were at 18.45%. Now, in October 1981, I was 10 years old, so I have no idea what’s the interest rate and all that stuff is happening. My parents had already bought their house years ago that I grew up in. Crazy, crazy stuff.

Today, interest rates are at 4.19% and predicting to even go a hair bit lower.

That is going to do it for me today, thank you so much for checking out the Reside Daily Bite.

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