Rates Near Lows - 09/28/09

For Immediate Release
8:00A.M. PT, August 27, 2009
Fredrick J. Bond, SVP/Mortgage Division Manager

(San Luis Obispo,CA) - Mortgage rates remained low as summer temperatures cooled, providing Americans with good reasons to look into purchasing a home or refinancing their current loan. Recently rates on 30-year mortgages were more than one percent below their levels of a year earlier.

Homeowners with a $300,000 loan could save $213 each month as a result. Over a year their savings would reach $2,556. It’s actually surprising that rates would stay near all-time lows, even as America’s economy is improving. Generally a healthier economic performance soon leads to rising interest rates.

Yet America’s Federal Reserve remains committed to keeping rates low. A recent statement from Fed Chairman Ben Bernanke indicated that rates would stay around today’s levels “for an extended period.”

Certainly at some point rates will go up – and no one can be certain when that will occur. Today’s great home values and attractive rates are making it easier for Americans to purchase real estate now.