Posted on August 18, 2011 by jia zhou

You might already read the recent news about the S&P downgrade U.S. credit rating from AAA to AA +. Such downgrading fact might leave a ding on The United States future borrowing power, and its standing on credibility among other super powers in the world. All of the sudden, it seems our reputation just going down, and the stock market instantly plummet according to such news broadcasted worldwide. Unemployment rate is rising up again; investors are worrying about their money whether or not will get return; and banks are suspicious about people borrowing money and would they be capable of paying it back. All such factors affect our national’s healthy economy, and most people might afraid the second recession might come.

If you are optimistic enough, such news might not be so bad at all. Just think about it, 10 years ago, you might not be able to afford a house with its high price in the market. All of sudden, you have enough money to pay for one with all of you hard earn savings. Also, in the interest rate of your mortgage, you might got 7.0% – 8.0% 10 years ago, now, you can get it below 4.0%. Also, if you are applying for refinance, it is the best time to do so. Since the interest rate is so low, and it is offered by the banks right now. Maybe the recession is not a good news to the economy overall, but to some of us, it might not be so bad at all.