should i lock in my variable rate 2nd mortgage now to a fixed rate, or wait for interest rates to fall more?

I honestly don't see interest rates getting any lower.

Eventually they will start shooting up.

If you can get a 5% FIXED loan rate, I would do it now.

I read in Money Magazine that interest rates just on 1 year cd's could easily double by December.

Keep this in mind - and don't wait too long.

Remember, you will be paying penalties for paying off your old mortgage early.

It's not about what your monthly payment will be, its about what is right for your financial future.

If you are extending the length of your mortgage by too much - it could be a bad move.

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To be completely basic, 2.seventy 5 factors is severe for that fee. there are a number of aspects that be sure your activity fee, yet a classic 30 3 hundred and sixty 5 days fastened fee with 20% down, stable credit, universal place of abode, and complete earnings documentation is at present priced at 6% costing a million.375% on a 40 5 day lock. you're able to have the skill to get 5.875% or so once you're paying that a lot. so a ways as locking is going, the industry is rather risky ideal now - i might advise locking; yet there's no thank you to tell for confident what the industry will do.

Waiting for interest rates to go lower? Have you been reading the papers or watching the news lately? Have you seen the huge multi-trillion dollar deficits the "great one" is running up? Obama is about to bring about huge interest rates and the collapse of the dollar. Now is the time to lock in low interest rates. They will not get any lower. If you can swing it, do it now. Good luck.