We want to take a moment to wish you and yours a Happy Thanksgiving. We hope you enjoyed the holiday weekend.

While the economic news has been somewhat upbeat, rates continue to drop. Going into year end – interest rates look like they may close at the best levels in 2014!

With positive economic reports, a strengthening economy and a rising stock market, most experts are somewhat dumbfounded as to why rates are dropping? For years now, I have been aggressively stating that rates will not rise until the world recovers and that’s clearly not happening. The 10 year German Bond is currently paying .75%. With the European economy struggling and the continued threat of deflation, there is no reason for U.S. 10 year bonds to pay 2.25% as our economy is certainly safer than Germany.

I look for continued weakness and a further easing worldwide, which will push rates down in 2015. Now is a great time to look at your commercial and residential real estate loans in preparation for the new year. Starting the process now will put us in a position to take advantage of any significant drops at the beginning of the new year.