If you are thinking of purchasing a property this year, you may be concerned about what the market trends are anticipated to be.  I know I am.  So, here is the research I have done.  Throughout the years 2000-2005, at least in the United States, the loan market from extremely good.  As a result of actions taken by the Federal Reserve to revive and stimulate the economy, the borrowing rates for banks hit all time lows.  This of course, had the correct effect, banks borrow money from the reserve bank at next to nothing in fees, and they subsequently reduce the interest rates available to their buyers.  Simple enough. 

In 2006, however, the rates are adjusted slightly and the market starts to slow down and interest rates start to move upward.  So now, here it is year 2007 and the question always is asked — what can we expect this year? 

Well, it is my belief we can expect that the changes we saw in 2006 will continue throughout much of 2007.  Things are going to stay at the slightly moving upward rates — at least for now.  Which means that those people we may think were extremely lucky to get the near nothing interest rates may not be so lucky after all.  After all, they are literally trapped in a situation where there are no real refinancing options available to them without tacking on a substantial amount to their loan due to the higher interest rates.  (Maybe my stalling was really a good thing — probably not — but it is a comforting thought to think while I watch the interest rates crawl skyward).  On the other hand, as the market continues creep up, the activity continues to slow down and/or remain sluggish.  This will eventually cause alarm and the Federal Reserve Bank will have to do something.  Playing with(and in particularly lowering) the interest rates in our economy is akin to a doctor using electric paddles on a failing heart.  It tends to restart things and gets them going back to normal.  Well, at least as normal as the financial world can be.