Mortgage interest rates have fluctuated greatly the past 20 years. As a general
rule, when the economy is heating up and stock prices are rising, interest rates
tend to follow upward. In turn, as the economy cools off, interest rates tend
to drop. Today, rates are much lower than they were in the mid-1980's and 90's.
Most financial experts are predicting a rise in interest rates within the next
year or two
Unfortunately, no one can know for certain whether rates will
rise or fall in a period of time. Your banker or broker doesn't set the current
rate you're charged. Most lenders sell their loans to FannieMae or FreddieMac,
which in turn, dump these loans into what is called the secondary market. .
