My wife and I are thinking about refinancing are home. Do you think the fed will drop rates even more than the current rate of 2.25% Should we wait or do it now?

Hello c:

2.25% is pretty cheap. Inflation is higher than that. It's basically free money. I wouldn't wait.

But, even though money is cheap, it's scarce. So, I'm not sure you can even do it today.

excon

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Originally Posted by excon

Hello c:

2.25% is pretty cheap. Inflation is higher than that. It's basically free money. I wouldn't wait.

But, even though money is cheap, it's scarce. So, I'm not sure you can even do it today.

excon

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I agree 2.25% is cheap however I believe it will fall lower and we could even reach true free currency levels of 0%. The idea of this has been extensivly talked about, the last currency to make such a step was the Yen.

I don't think the FED will lower it that far but do think we could see a further three quarter point fall before things get better meaning a rate of 1.5%. I would wait.