The wonder of interest rates....

These days it seems that most any conversation I'm involved in lately turns to the question of 'How is the market?' Everyone is watching and waiting for a magic button to be pushed that will make it all better. I hear people say with hope, 'it will be a rough few months' or 'it will surely get better by the end of the year'.

I think we will be weathering this storm for a bit longer than just the next year.

However, I have to say, while ridiculous loans aren't falling from the heavens any longer, there are some serious great rates and fantastic opportunities to be had. Last week interest rates were floating at about 5.5%, rates haven't been this nice for a very long time. A few days ago I was reminded with a 25 year historical spreadsheet of rates and saw just how far we are from truly terrible. Interest rates hovering between 12 & 18 % on average for several years running and then the 'golden times' of 9 or 10 %! Seriously!! The first loan my husband and I had on our first house was just under 9%. To put that in perspective, that can mean a jump of hundreds or even over a thousand dollars a month MORE for your mortgage payment...just in interest. The higher the interest rate the less house people can afford.

If you're thinking of taking adventage of this buying power there may be no time better than now!

I won't deny the market is challenging, people are worried about their jobs and homes but our cloud is definitely surrounded with the sparkle of a silver lining right now. Thankfully those of us in the Willamette Valley have a strong base for our economic stability with government jobs, Universities and new business development coming in, we will feel the storm but I am confident we will survive.