Could mortgage rates fall to 2-something?

How far is down?
  • We are almost at our all-time lowest mortgage rate.
  • Sooner or later mortgages are going where the 10-year Treasury note goes -- and that's down.
  • The emergency situations overseas which have conspired to cause this rate drop can calm down at any time, so this is the time for bird-in-hand.

Freddie Mac reported on Wednesday that 30-fixed mortgages have dropped to the lowest level since early 2013, “3.625 percent plus .5 points.” But rates are really lower than that: a good loan can be had at 3.625 percent without the fractional point and probably a credit versus closing costs. Some cut-rate vendor might touch 3.50 percent (as of Thursday, February 11).