Pittsburgh Homes Daily

According to WPXI, the Fed Funds rate is now at 5 percent.  I can remember when it was below 2 percent in 2001 and 2002.  Although the mortgage rate is at a similar high, it’s interesting to note that it hasn’t even come close to doubling over the past four years.  I guess the real question is whether mortgage rates are going to keep going up, making a fixed rate loan at this point a good play … or is it worth taking the risk and going with a variable interest rate?

Here, the company that has been advertising variable interest rate loans for the past 3 years has finally switched slogans and is promoting fixed rate loans to lock in the low rates before it is too late.  Since I went with a fixed rate loan when they said go variable, maybe it’s time to go with the contrarian play and switch?