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Mortgage rates hit 4 1/2 year low. Freddie says 30-year mortgage rates dropped to 5.47% this week, continuing to fall since the Nov. 25 Fed decision to buy $500B in mortgage-backed securities.
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The Nov. 25 announcement of a Federal Reserve commitment to purchase $600 billion of mortgage-related debt from Fannie Mae, Freddie Mac and the Federal Home Loan Banks put immediate downward pressure on U.S. mortgage rates. Bankrate Inc. reports that average interest on 30-year fixed loans droppe...