It is always been very interesting situation for the mortgage agencies and lenders to predict the interest rates that they want to charge on the property or houses. Increase in rate of interest on property is good news for lenders but it is a hurdle for ordinary people. Just like the rate prediction of 2009 year, in the current year 2010 property prices and interest rates are predicted. 
Comparison of current rate with last year
Last year the interest rates were low but in this year the interest ratio that is charged on the mortgage property will be higher as compare to ratio of 2009. As we know that predictions are not 100 percent true but there are some circumstances that are involved in the matters related to mortgage which tells that the interest ratio will increase this year.
Incremental Ratio
The increment ratio is small and just around 1.5 percent however, it is higher than the previous year. The current rates of the property are fixed on 5 percent for thirty years and this rate will not fall down this year instead it will increase up to 6.5 percent in 2010.
Factors affecting the interest rates
The current rates of interest are very low on mortgage property due to the involvement of government housing program and ridiculous housing markets that are designed for keeping the consistent interest rate. If this interest rate is increased by 1.5 percent then it would be very beneficial for the property dealers, housing markets and mortgage agencies.
Prediction for 2010
The increase in interest rate for the year 2010 is based on the prediction of good economical situations. Refinancing by the home owners will be another benefit that will play an important rate for the increment in the rate of interest. The high rate of interest is always a beneficial step towards growth of economy. The rate of 1.5 percent seems very small but it add up a great amount when added to the ratio of thirty years of installments charged on five percent property prices interest .
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