Treasury considering plan to lower mortgage rates to 4.5%

[Thalia]

linkage:
http://money.cnn.com/2008/12/03/news...ates/index.htm

We are right in the process of buying our first home and would so love this to be true. Unless it's going to screw up the economy even more...

[Rev1053]

I thought had had a good interest rate...
Now I want to do some refinancing.

I think it basicly means the housing market is screwed and my house is worth way less than I paid for it. Oh and no I don't want to check.

[EmsMom]

Unfortunately, I read that the rate of 4.5% would only apply to new mortgages, not refinances. If only!

[PenelopeJune]

Sigh. My interest is over 7%, and we had good credit when we got the loan! Man, we got hosed. But our house is worth less than we paid too, so we're boned either way.

I hate this house. It's like a giant anchor dragging us down.

[tayndrewsmama]

Originally Posted by PenelopeJune

Sigh. My interest is over 7%, and we had good credit when we got the loan! Man, we got hosed. But our house is worth less than we paid too, so we're boned either way.

I hate this house. It's like a giant anchor dragging us down.

It's so sad that this is the boat that many are in now. I am sorry you are a part of it too.

[the_lissa]

Wow, that seems high to me. Our rate is 3.25, and it looks like it is going down to 3 next week.

[tayndrewsmama]

Originally Posted by the_lissa

Wow, that seems high to me. Our rate is 3.25, and it looks like it is going down to 3 next week.

WOW! I don't think I have ever heard of that on a mortgage....unless it was an adjustable rate, which is part of why this mortgage mess is going on. Lucky you!

[the_lissa]

Yes we have a variable rate mortgage, but the rules seem to be different here, and we don't have the mortgage crisis here either.

Our mortgage is prime -.75. I don't think you can get an under prime mortgage right now.

[Irishmommy]

When we bought our first house, we were lucky to lock in at the low rate of 9.95%.

[tayndrewsmama]

Originally Posted by Irishmommy

When we bought our first house, we were lucky to lock in at the low rate of 9.95%.

When we bought our first house ten years ago, everyone was freaking out because we got the low, low rate of 7.25%. We knew people who were refinancing from rates as high as 14%! We locked in at 5.25% on this house almost five years ago. It's strange because we don't know hardly anyone with a rate like that now. I wonder what happened. I thought people were refinancing then too.

[tayndrewsmama]

Originally Posted by the_lissa

Yes we have a variable rate mortgage, but the rules seem to be different here, and we don't have the mortgage crisis here either.

Our mortgage is prime -.75. I don't think you can get an under prime mortgage right now.

When dh was working in Canada, he was telling me about some conversations with the guys he was working with up there. They were telling him that there was the beginnings of a mortgage crisis up there and that it was on the news too that they were trying to head it off before it got to be as bad as it is here. Is it different in different parts of the country? That would make sense, since it's like that here.

[Graceoc]

I am keeping my fingers crossed! We just signed on a new house, but pushed the closing back to Feb to hopfully clear up a little credit issue. We most likely wont' get to 4.5% - right now the lowest we can get is about 6.5% - but even if I can get is down a bit I would be much happier. If the rates go down that would be great. Espically since we also need to sell our current house. Having two mortages will not be fun....