NEW YORK (Reuters) – When Kristin Tassi bought her house in Chicago two years ago, she was disappointed to get an interest rate of 4% on her mortgage. All of her friends had lower rates.
FILE PHOTO: A newly constructed single family home is shown as sold in Encinitas, California, U.S., July 31, 2019. REUTERS/Mike Blake/File Photo
Experts said rates were on the way up from that point forward, but Tassi could not stop obsessing about the numbers game. (reut.rs/2wwhC0d)
Fast-forward two years: Tassi, a 35-year-old public relations executive, is getting unsolicited offers in the mail to refinance at 3.25% – and that was before the Federal Reserve cut borrowing costs by half a percentage point in a surprise move on March 3.
As the U.S. central bank’s move slowly gets priced into mortgage rates, there will likely be more drops.
“I’m pretty sure at 3%, we can’t say no,” Tassi said. “But what about next week, or the week after? I don’t know when the right time will be.”…