Well, as Fed Chairman Ben Bernanke decides on his next move -- will he or won't he ratchet up interest rates another 25 basis points next month as most economists are predicting -- mortgage lenders are also pondering their next moves.

Wells Fargo, for example, just announced that it is joining the growing number of lenders, like Washington Mutual and Bank of America, that are offering 40-year fixed-rate loans. Tauting the lower monthly payments the new product offers will appeal to first-time buyers, consumers in high-cost markets, real estate investors and buyers on a fixed income, the company's press release also warns that equity will build up more slowly as a result of the lower payments and a lot more total interest will be paid over the extra 10 years.

Still, this new loan may be a viable alternative to home buyers who may soon be finding themselves in trouble with the popular interest-only and option adjustable-rate mortgages -- especially if the Fed ups the interest rates more this year due to increased fears of inflation.stemming from higher energy costs and low unemployment. 

There is no doubt that lenders are hurting right now. Even though prices are up, home sales volume is down dramatically -- just ask the National Association of Realtors -- homeowners are not refinancing anywhere near the levels seen even just a year ago, and the number of new homes under construction is declining as is building permits. The net result -- lenders need new methods of generating income and these 40-year loans may be one solution.

Whether 40-year fixed-rate mortgages will help distressed homeowners who can't afford their monthly mortgage payment keep their property out of foreclosure -- it's too early to tell. Maybe, if those owners can qualify, and Wells Fargo and the other lenders allow refinancing using the 40-year product.

For real estate investors it could be a double-edged sword. A blessing by offering a means to lower their monthly payments while they busy themselves fixing up and flipping properties. But it could also be a curse, with less properties ending up in the foreclosure pool.

In that case, as always, investors need to keep thinking about widening their search for viable investment opportunities, and RealtyTrac is here to help in that search in anyway possible.