If fed cuts today, what will that do to mortgage rates?

[thefed]

i was eyeballing some rates at my bank and all 1st mortgages went up .5% today

 

[mathjak107]

Maybe I should wait for the recession to be in full swing before I refinance...(are we already? Seems like nobody knows!)

Thanks for the explanation!

no guarantee we will have a recession , if we arent already in one and no guarantee long term rates will fall in one with the fear of future inflation being what it is, timing the stock market is hard enough but predicting interest rates is near impossible

 

[myself]

Following the additional rate cut, 15yr fixed down 1/4 to 5.0% today at PenFed

But as previously pointed out elsewhere, probably more tied to the 10yr treasury that is also down a bit

Hehehe. Just prior to the second rate cut (and after that sudden .75% rate cut from Uncle Ben), we locked in a rate of 4.625% on a 15 year. We dropped down from a 5.5% primary & 6.99% secondary to a single 4.625%.

 

[myself]

Maybe I should wait for the recession to be in full swing before I refinance...(are we already? Seems like nobody knows!)

Thanks for the explanation!

My belief is that we are already in a recession. I don't think they define us as having been in a recession until quite a few years have passed (i.e. does anyone remember the 2001 recession?). Weren't they saying, "We have to do this/that in order to prevent a recession" back then?

 

[vinnieg24]

I think we are in a recession as well. It's not looking good right now for everyone who has mortgage payments right now. I just think they aren't making educated decisions and learning from history to change the countries economic problems right now

 

[brewer12345]

It's not looking good right now for everyone who has mortgage payments right now. I just think they aren't making educated decisions and learning from history to change the countries economic problems right now

I've seen some complicated tinfoil hattery, but this is a new one: apparent nonsequiturs with no elaboration.

 

[myself]

I think we are in a recession as well. It's not looking good right now for everyone who has mortgage payments right now. I just think they aren't making educated decisions and learning from history to change the countries economic problems right now

Well, not everyone with a mortgage is an idiot. Only those that took out ARMs with the thought or hope that the house would appreciate far beyond what they paid for it.
We have a 15 year fixed @ 4.625%. Aside from a vehicle loan (which will be paid off within 6 months), we have no other debt. I'd rather not have a mortgage, but we also need to have a place for our family to live. And the rents in our general area are slightly more than what a 30 year fixed rate mortgage would be. If all goes well, the mortgage will be done by the time our youngest 2 hit college (or preferably before the oldest 2 hit college).

 

[FinanceDude]

I think we are in a recession as well. It's not looking good right now for everyone who has mortgage payments right now. I just think they aren't making educated decisions and learning from history to change the countries economic problems right now

Most folks can't pay cash for a house. I make mortgage payments but my house will be paid off 5 years before I retire.............how is that irresponsible??

 

[twaddle]

Most folks can't pay cash for a house.

Wouldn't that be a trip if people had to save up and pay cash.

The modern mortgage has only been around since about 1934. There were mortgages prior to that, but people were required to pay them off (or refinance) after 5 years, I think.