We know that we’ve reached the bottom of the housing market because bank-owned properties are tending to receive multiple offers and are selling like hotcakes. But, because the economy is still searching for its bottom, the Fed is more interested in the economic environment than with inflation. I hope this means a downward glidepath for interest rates during the remainder of the year and into 2009. But it didn’t happen last week.
FHA interest rates ticked upward last week, while conventional rates held steady. Where loan rates will begin the week of September 2.