It’s true! Homebuyers today can potentially save several times more money in interest costs than buyers who took out a mortgage in early April and claimed an $8,000 homebuyer tax credit.

Yet buyers, who rushed to meet the April 30 deadline for the federal tax credits, appear much less eager to borrow at the lowest interest rates in 60 years.

Someone taking out a $240,000 mortgage today at a 4.42% interest rate could save $33,287 in interest costs over the life of a 30-year loan. That’s 4x the $8,000 credit used by a first-time homebuyer who financed at 5.21% in early April.

A survey from real-estate website Zillow.com found that a third of homeowners thought home values in their area had more room to fall. If prices are headed lower, the rational thing to do is to wait for the better bargain. But deflationary expectations, like inflationary ones, become self-reinforcing.

During the housing boom, people bought homes because they worried that prices would rise the longer they waited. Flip that around, and people may now be waiting to buy because they expect prices to go lower.

However, if prices do go lower, there is no guarantee that the interest rates will be at this level, the lowest interest rates in 60 years.