Are mortgages about to get cheaper?

The money market rates at which lenders borrow from each other continue to fall to new lows. So will lenders reduce their margins accordingly, meaning cheaper mortgages? Probably not, which will leave borrowers understandably miffed. If lenders are able to obtain money so cheaply, why on earth aren't we all benefiting? The problem is that lenders have to repair balance sheets, which means higher margins. Several of them have to repay the taxpayer all that money they were bailed out with, which means higher margins. And, generally speaking, they no longer have the appetite to out-do each ...