Well we knew that it would eventually get here and now it is here. Interest Rates went up again yesterday, and now mortgage lenders are talking about the 5 somethings again and we thought that we where going to have 3.25% interest rates for the rest of our lives. It was a unique time in American History, the government monetized trillions of dollars worth of debt during the last 6 years and now they are trying to reduce the lose of our purchasing power. What does that mean? That means that every time you heard them use the term "quantitative easing" or "stimulating the economy" the government was simply creating money out of thin air and now they are trying to slow the drastic devaluation of our currency by doing what Chairman Bernake so eloquently put it in a 60 minutes interview simply stated "we have ways of sucking it back in".
Truthfully we should not hate this fact, because the only way the government is able to reduce debt is by either raising taxes or interest rates. At least interest rates is a voluntary tax while a direct tax like the income tax is one where they will throw you in jail or worse even kill you if you do not pay up. The problem occurs when the government refuses to cut spending, or scale back on our over seas empire, or address the entitlement welfare state that plagues the US treasuries. However this is a debate for another day as I could probably write for hours on the misinformed policies of our so called political leaders.
The point of this short writing piece is to encourage anyone who has been possibly sitting on the fence waiting to see what happens before they make their next purchase. The time to buy is now we don't know what the future will bring but we do know that if you need a home for your family and you want an affordable price/payment, there has never been a better time in American History than now.