[TyFenn]

What makes you think the rates will come down in the next 30 days?

If it is because of a perceived cut in rates, I must advise (and you probably already know this) against waiting as a cut in rates does not necessarily mean a corresponding reduction in mortgage rates. See the previous rate cut, for example.

However, my personal theory is that rates will indeed filter down 'slightly.' My reasoning, and this is a bit conspiritorial (sp?), is that banks are looking for a more consistent revenue stream and think that the payments made on a 30 year fixed will be, over time, be more consistent. I'm making no connection to potential defaults. I'm thinking from a balance sheet perspective. Especially for portfolio lenders.


**DISCLOSURE** I work for First Federal Bank of CA in the afternoons, as a loan consultant.

How much further do you think they will go?