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Where do you see interest rates in 5-7 years

Posted on 1/24/11 at 10:23 am
Posted by willeaux
Member since Jan 2006
2922 posts
Posted on 1/24/11 at 10:23 am
About to finance some land, trying to pick between to fixed rates at the years above.

5 - 5.35

7- 5.95
Posted by TheHiddenFlask
The Welsh red light district
Member since Jul 2008
18384 posts
Posted on 1/24/11 at 11:44 am to
I would be going as leveraged as possible in this interest rate climate, FWIW, IMHO.

But then again, I don't actually have any debt, so I'm not practicing my preaching.
Posted by foshizzle
Washington DC metro
Member since Mar 2008
40599 posts
Posted on 1/24/11 at 1:49 pm to
quote:

I would be going as leveraged as possible in this interest rate climate


I am actually doing this, I went out and remortgaged, for example, and put it into a fairly well-diversified basket of indexes. Last year returns - interest = about 7%.

If you think about it, the Fed is basically forcing rates very low to get the economy jump-started. I'm essentially betting this will work at some time over the next 30 years, that being the length of the mortgage.
Posted by justoneword
Member since Jan 2011
105 posts
Posted on 1/24/11 at 4:14 pm to
Increased.
Posted by RemouladeSawce
Uranus
Member since Sep 2008
13925 posts
Posted on 1/24/11 at 4:36 pm to
quote:

justoneword

quote:

Increased.

Outstanding.
Posted by foshizzle
Washington DC metro
Member since Mar 2008
40599 posts
Posted on 1/24/11 at 5:35 pm to
quote:

Increased


So the coin showed heads?
Posted by adavis
North of I-10
Member since Aug 2007
5749 posts
Posted on 1/25/11 at 11:57 am to
They have to go up, or we will all die. Seems like they were about 5.0 this time last year?
Posted by agdoctor
Louisiana
Member since Dec 2004
3142 posts
Posted on 1/25/11 at 1:03 pm to
Hopefully in the range of my first business loan. 17%.
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