Good Rules and Standards Coming
I worked in banks through a period where people lost their homes due to dramatic increases in interest rates. The experience left me cautious about debt and to pay a bit more to ensure better financial security. I wish I'd known what Greenspit had been up to as I'd have gone short terms the whole ride and I would have saved money.
However, today is probably a good time to follow the practices that I had followed. I can't see how rates stay down and CR has a post showing them over the past two months. Interestingly the 30 yr mortgage rate is about 1/4% higher, yet the feds have reduced rates by 2.25% in the past 6 months.
Lending standards are building risk back in and now standards for fair appraisals are being developed as Fannie Mae has new rules.
Going back to fiscal reponsibility is a good thing.