Last week, I had a post "Mortgage Rate Rise - Trend or Bump?" in which I linked to a WSJ article by Amy Hoak.  She has followed up with an article in which she says that mortgage interest rates may have bottomed out.  This may have answered the question I ask in the title to last weeks blog.


Mortgage Rates Seen Rising to 5.1% in 2011
Industry Group Pegs Levels Going From Record Lows to Merely Historic Lows
By AMY HOAK
ATLANTA—Mortgage rates may be as low as they will go, with the average 30-year fixed-rate home loan on course to rise after hovering for months at historically low levels.
The Mortgage Bankers Association predicts rates on the 30-year fixed-rate mortgage will average 4.4% in the fourth quarter of 2010, increasing to a 4.7% average in the first quarter of 2011, and climbing to 5.1% by the end of next year. That is barring any "blockbuster" announcement from the Federal Reserve next month, said Jay Brinkmann, chief economist of the MBA, at the group's annual convention here.

Read the full article here