September 26th, 2012 9:15 AM by Eric Fang
We will expect 15 yr fixed and 30 yr fixed rate will be lower.
At the mean time, don't spend too much time to try to "stress" out a good rate. The good rate is determined by the market. We need to have a good strategy to have a "reasonable" good rate.
One thing is certain, 15 yr fixed fixed rate will be very similar to 5/1 ARM rate. Those who has ARM rate now needs to think about whether to lock a fixed rates.
When the fixed rate is very close to ARM rate, it usually suggested a "recission". Maybe this rate (due to QE3) might be a little bit different. Let's wait and see.