How Soon Will the Fed Rate Cut Affect My Mortgage?

Mortgage rates have see-sawed over the past few weeks and the Federal Reserve's latest cut does not guarantee that your mortgage rate will head lower. No correlation between the federal funds rate and mortgage rates (at least long-term fixed rates) exists.

It is impossible to guess where mortgage rates are heading after fed action. Trying to time the market is a fools game, even for the professionals.

Mortgage rates don't respond right away so what should you do right now?

Long term rates sometimes move in the opposite direction to a fed move but more often than not, mortgage rates eventually follow the fed for sometimes complex economic reasons.

Trying to guess when, or even if, these already historically low rates will fall further is not a game for the faint hearted. If you have not had a mortgage analysis recently take a deep breath, relax and get the best rate mortgage you can qualify for right now.

Stephen Parnell
Florida's First Upfront Mortgage Provider
www.lynxbanc.com