Mortgage Rate Predictions – March 19th – Mortgage Rates Go Under 5%
Posted on | March 16, 2009 | 2 Comments
At the beginning of the year I was diligent about making mortgage rate predictions and was rather successful at it as I predicted a few direction changes and actually was exactly right for the week of January 15th. As I look back on some of the successes and failures of this site, one thing jumps out as a resounding success – making predictions. The following is a list of predictions that were made before the actual events happened:
- Is a Credit Card Bailout Next? was posted on November 8th and I think we all know what has happened since.
- “I personally think you are set up to fail as a president because over one third of the nations invested wealth has disappeared over the last year. It is impossible to illustrate how important this is. With stock market psychology so negative, it is going to be extremely difficult to get money reinvested into our economy; even with YOUR economic plan.” This was from President Obama, Please Take Note on November 5th.
- The Should Have Let Citi Fail! was a diatribe well before Citigroup’s stock tumbled to under $2 a share. The article was written November 27th.
- Will the Last Honest Bank Please Stand Up was written on January 15th right before BAC’s stock fell over 50% in the next month.
- First the Mortgage Crisis; Now the Life Insurance Crisis was published March 4th approximately one week before the Wall Street Journal article reporting a possible life insurance bailout
As you can see, I have been quite accurate with some predictions made over the last few months. I will never claim to be 100% accurate with my predictions. I would actually be willing to bet that I am often a little bit early on my predictions, but they often come to fruition. With this in mind, I am going to attempt to offer more predictions on the troubling road ahead and when it is possible that things will turn around. Just yesterday I pointed out that the subprime mortgage crisis is likely to cause many retailers to go under in the article “Will the Subprime Mortgage Crisis Cause Retailers to Go Out of Business?” This is something I am quite confident will happen, but how long it will take is anyone’s guess.
Without further ado, let’s get to the mortgage rate predictions for March 19th. Last week, the 30 year fixed rate mortgage average was 5.03%, one of the lowest levels since Freddie Mac started collecting data. The 5.0% level has definitely been a psychological floor for mortgage rates, but I see that getting broken this week. If it is not broken this week, I would expect to see mortgage rates under 5%. My prediction is
30 year fixed rate mortgage – 4.97%
Once again, I will never claim to be 100% accurate. Of course there will be times when I am way off, but if you look at past predictions, you will see that I have offered some pretty good estimates of where mortgage rates will be and where they are headed in the future.
I also make Stock Market Predictions at Church of Cowherd if you are interested. Once again, those predictions are not spot on, but have been rather accurate over the past month. I am going to work hard on making this predictions on a consistent basis for you the reader.
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2 Responses to “Mortgage Rate Predictions – March 19th – Mortgage Rates Go Under 5%”
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March 16th, 2009 @ 7:28 pm
You can already get fixed 30 year mortgages for under 5% with no points. My boss just closed on a 4.75%, 30-yr fixed, no points, no extra fees.
March 16th, 2009 @ 10:27 pm
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