The big news yesterday for Florida mortgages, which sparked a huge stock market rally was the release of details of the Treasury’s plan to get “toxic assets” off the books of lenders. The idea being that once these debts are sold off to private investors, banks will now have capital freed up which they can then start to lend. Usually, when the stock market rallies, MBS (Mortgage Backed Securities) and treasuries sell off. Well, yesterday treasuries sold off but MBS held their ground. This is probably due to the extra $750 billion that the Fed announced will be used to buy more MBS. The government is doing all they can to encourage low rates and they are being successful. If you are sitting on the sidelines wondering if you should refinance now or wait and hope that rates go lower, let me help you with some advice. Get off the fence, buy or refinance now as rates are under 5% if you pay a point. Yes, rates might go lower but there is much more room above for rates to go higher. In addition, if you are waiting, there are many things outside of your control that might negatively affect your ability to buy or refinance. For example, our economy is still doing rather poorly. The company you work for is probably making less money and might need to cut back on expenses. It is quite difficult for a company to reduce their rent payment as that is pretty much fixed, but one expense and their largest expense that can be cut very easily and quickly is labor expenses. I have spoken to several clients who wanted to wait to refinance but then got laid off and now cannot qualify. With no job, there is no hope for refinancing even with any of the government programs being released. So, contact me, your professional Florida mortgage lender, get moving on your refinance, then you can forget about your mortgage as you will have a record low interest rate.