So you've been careful with your money all these years and have always put some aside for a rainy day? Good for you! Even when the economy is weak, those who plan ahead can benefit from its downturn by taking advantage of market conditions. Even mortgages can benefit during tough economic times as rates tend to drop when weak economic data is reported. How can you as a savvy consumer benefit from this? It's as simple as following the numbers!

Weak economic data usually means that consumers are pulling back on spending and are concerned about their jobs and other financial matters. As a result, the mortgage market usually sees a drop in demand for mortgages and a drop in the interest rate charged for mortgages. Those who have put off buying a house for some time and have stellar credit may find that during these economic downturns they can get more house for less money and a great rate to go along with it!

As always, it pays to keep on top of mortgage rates which often change week to week. If you are thinking of taking on a new mortgage one item that you should pay attention to that could potentially raise the rate is inflationary data. When the market sees data that shows inflation are going up, mortgage rates tend to rise as well. After all, the value of a dollar becomes less as inflation is factored in. If you are thinking about buying a house you could potentially save yourself as much as half a percentage point just by knowing when the Fed releases inflationary data and locking in your rate before that if you think the data will show inflation is on the rise.

Just like in the stock market, for the real estate investor out there - or even those looking to buy a new home - the best time to buy is when the market is down. The house that may have been outside your price range could suddenly be reduced tens of thousands of dollars. Combine that with an interest rate that is half a point to a point lower than what you were expecting and soon you find that a house that you thought would be a struggle to afford is a comfortable financial fit!

The economy rises and falls, but over time it all evens out and most everything - including housing - stabilizes. By planning your real estate purchase and keeping your credit in shape you can set yourself up to take advantage of the economic downturns and come out of it in better shape financially than you thought possible!

It's a buyer's market out there - take advantage of it!