The Effect of Rising Interest Rates on Monthly Payments
Interest rates on mortgages are historically low, but we keep hearing that rates will be going up. Why? As of March 31, the Fed will stop purchasing mortgage backed securities (MBS). According to Marvin Goodfriend, formerly of the Federal Reserve Bank of Richmond, it’s an experiment. The Feds are hoping the economy is strong enough, and investors confident enough, that … [Read more…]