Goldman Sachs predicted on Friday that the yield on the 10-year Treasury -- which mortgages are pegged to -- could fall to 2.75% by the end of the first quarter. On Friday morning the 10-year Treasury was yielding 3.24%. In years past, when the 10-year fell so too did mortgage rates but because of the housing recession lenders -- as well as Fannie Mae and Freddie Mac -- are charging extra points, fees and higher rates to compensate for the worst housing market since the Great Depression.
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