Well, we made it through the self-imposed Debt Limit vote relatively unscathed
except for our psyches and a more diminished opinion of the elected officials in
Washington.

In the last Market Observation, we talked about the end of QE2 and what that
might mean to interest rates and real estate. For a little while, rates edged a tad
higher, but as I write this, there is talk on Wall Street that the yield on the 10 year
treasury bond could drop from what has been around 3% (creating about a 5% +
or – mortgage rate) to as low as 2% which might drop mortgages to as low as 4%
+ or -.

Denver’s real estate market, while nothing to get too excited about, ranks as one
of the better markets in the country at around number 5 on the Case Schiller
Index. 4% interest rates would continue to help affordability and bring more
buyers to the market that might otherwise be on the sidelines. By the way, if
you want to take advantage of great refinance rates, call Julie Whalen at Guild

Mortgage for great service and rates.

The biggest issue still remains the job issue. Despite what the politicians say,
and what many voters expect the government to do, this is going to be a long
haul and the government simply can’t do that much about it. It took 30 or 40
years, back to Carter and Reagan, to get us into this mess, and maybe it will take
a decade to get out of it.

I’m happy to provide you with a free market analysis if you’d like to know where
you stand. As always, thanks for your business and referrals.