The Great Recession has been one big collection of bad news, but there is always at least a small silver lining. In this case, mortgage rates have plummeted again to incredibly lows.

The economy appeared to be slowly recovering from the Great Recession with the onset of 2010. As we head into September, there are huge fears that a double dip is starting to occur. The reason for this is the continued dismal job market and the news that the housing market is again in serious trouble.

Are we due for a double dip? It is difficult to say. Every recover following a recession goes through ups and downs. That being said, we haven’t seen much of a recovery this time around. The fact we now seem to be turning towards a down turn is thus a very uncomfortable proposal. The ultimate question is how bad can it all get? I don’t know and neither does anyone else despite what you see on television.

The silver lining to all of this, of course, is in the area of interest rates. The Fed has cut short term rates to near zero. This has dropped the borrowing rates overall in combination with a bond market that is supporting the low rates. How low? 30 year fixed rates are going for an incredibly low 4.36 percent as of August 26, 2010. 

What does this mean for you? Well, the future is clear. Rates are going to go up because they have nowhere else to go. If inflation hits, and it will, they are going to go up a lot. Given this scenario, you should be taking advantage of this incredibly opportunity. Refinancing your mortgage to lock in a 4.36 rate just makes sense. You really aren’t going to get money any cheaper than this, so take advantage of it.

If you have questions about your investments and how to plan for a financial future that will include high interest rates because of inflation and high taxes to pay off the massive federal deficit, contact us for a no-cost, no pressure consultation at (800) 341-5433 or via this contact form.