"Once in a lifetime" rates coming back?
But if you can believe it, we're closing in on that territory again. The 10-year was recently going for 3.54%, less than 50 basis points off that 2003 low. Could "once in a lifetime" yields become "twice in a lifetime" ones? Could we take out the 3% barrier? Now, THAT would be a sight to see.
In the meantime, mortgage borrowers who have good credit and a decent-sized home equity position are going to be able to refinance into cheaper, longer-term mortgages if this keeps up. I'm seeing 30-year loan quotes in the low 5s now. Fifteen year mortgage rates have breached the 5% barrier. In case you're wondering, the low for 30-year rates was 5.21% in June 2003 and 4.6% for the 15-year, according to Freddie Mac.