Son locked in a new mortgage 30yr fixed at 5.5% one week ago. (excellent FICO, 20% down ) Still following the market this week and it has been choppy at best.
It is the stated goal of the Paulson to get mortgage rates down and encourage home sales & refinancing . "Experts" I have read have been saying they may
go a bit
lower by the end of the year.
However, I can't help but wonder what this week's federal intervention will do to the need to eventually raise interest rates the government pays on all that Federal debt . There are a lot of unusual forces impacting rates right now and historic trends don't seem to apply to the way MBS and Treasury's are tracking right now .
one website I like is
Mortgage Rates Blog
for day to day analysis of MBS fluctuations.