Sometimes we get too wrapped up in the "interest rate of the day" almost like the special meal at the local diner. Even when rates go up a tic, real estate is still a great investment.
-You get to leverage other people's money and sometimes up to 100%
-You get the tax deductions for the interest
-You enjoy the appreciation on the property
-You get to live there!
-If rates go down in the future, then re-finance
Just try not to get caught up in the GLOOM AND DOOM in the press. In the future when things turn around, you'll kick yourself for not bouying in 2007!