How does the Fed’s most recent Interest Rate Cut Effect You?
Hi Everyone:
And what a hump day it is for the real estate community . . . another half point cut by the Fed both in the fed funds rate to 3% and the discount rate to 3.5% ! Our HELOCs and commercial loan rates all go down an immediate .50% as prime rate resets to 6%.(prime still has a ways to go). Mortgage rates are unchanged since last week since the market was anticipating this move. Though the Fed doesn’t meet again until March, look for a decline in Friday’s jobs report to help push rates lower. The Economic Stimulus Package passed the House yesterday and is in discussion in both the Senate Budget and Finance Committees today. It is expected to pass the Senate vote by Friday. The housing component which increases both the Fannie and Freddie loan limits to up to $725K will give our market a good shot in the arm by qualifying more buyers at higher loan amounts. Activity is going to pick up.
The jumbo ARMs are really attractive. Check out the 2-1 buydown below 4% (borrowers qualify there with 20% down).
Best
Chris Seymour
Broker
Country Mortgage Corp
9928-300-5115 cell
Visit www.SedonarealEstate.com/mortgages.html for more information and advice on mortgages and lenders - plus multiple mortgage calculators.
May 18th, 2009 at 2009-05-18
for mortgage calculators
One most informative article i have read in a while.
May 20th, 2009 at 2009-05-20
I found your blog on google and read a few of your other posts. I just added you to my Google News Reader. Keep up the good work. Look forward to reading more from you in the future.
May 27th, 2009 at 2009-05-27
Hello, I found your blog via Google while searching for real estate finance and your post regarding How does the Fed’s most recent Interest Rate Cut Effect You? looks very interesting for me
June 2nd, 2009 at 2009-06-02
Very helpful information to assist me in getting a good rate! We all need that nowadays! Thanks!