Interest Rates to Remain Low for "Extended Period

How long will mortgage interest rates remain so ridiculously low? It’s hard to say. I’ve heard some talk that the fed will be raising the prime borrowing rate their next meeting. While this doesn’t directly impact mortgage interest rates, mortgage rates usually follow the same trend. Well according to Ben Bernake interest rates are going to reamin low for an “extended period of time.”

Investors breathed a sigh of relief Wednesday when Federal Reserve Chair Ben Bernanke told Congress that interest rates are likely to remain low for an extended period. The economy, he said, “still requires support for recovery.”

via REALTOR® Magazine-Daily News-Fed: Interest Rates to Remain Low.

While interest rates will eventually have to go up to reduce mass inflation, it looks like it might be a while before this window of opportunity goes away.

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