Honestly, no.  There isn’t even an official plan up for comment.  Right now I would rank it with “vaporware”.  And the rates might get there themselves…  or they might not.

As I glanced at the rates a moment ago, 30 year conventionals were ticking at 5.125%, and FHA was at 5.25%.  I had a conversation with Ken Cook at Novation yesterday, and he actually had been able to place a couple of people in the upper 4% realm… with outstanding credit and downpayment cash.

But let’s look for a moment at exactly what this means…

For the example, we are going to use a $500,000 loan, $200,000 loan and an $80,000 loan.

This could give you a better idea of the savings of a 4.5% rate compared to the current 5.125% or 5.25% rates. Keep in mind that it is likely that only the best credit scores are going to pull down the 4.5% rates. Also keep in mind that if the plan is successful, it could push prices up. Prices increasing could wipe out any savings from the low rate…