This afternoon I spontaneously refinanced my mortgage. 4.375%. Really. That's not a typo. Only $1,200 in closing costs. You can be sure I'll never make another prepayment. BofA offered it to me under this government program: http://makinghomeaffordable.gov/For the life of me I can't understand investors and institutions that will to lend (or invest) for the long term at these low rates. The long bond (30 yrs) is yielding under 5%! That's completely insane given higher inflation and interest rates that are surely coming in future years as we fulfill Paul Krugman's dreams of fiscal recklessness.
3 comments:
Wow! Hook me up!
paul krugman's dream of fiscal recklessness. lol.
You should have seen him on The Week with George S a few weeks ago. I never seen an economist defend, or actually advocate, long term massive deficits. He's totally unconcerned by the risks, saying that other countries have "handled" high debt loads. Those countries being Japan and other western European countries. Of course they don't handle it well, they just handle it. He's such a hack. It's quite unfair to our kids to hand them a maxed out credit card and the accompanying economic problems.
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