Breaking News: Feds Cut the Rate.. Again
In another extraordinary move the Federal Reserve cut the interest rate by .75% to try and head off a recession. Is this too late? Many people are wondering when the downward spiral will come to an end. If there are ANY tentative buyers around now is the time to buy that home you were thinking about. Rates are at an all time low. I don’t understand why there aren’t more buyers purchasing homes. This is a true buyer’s market. I by no means am an economist. I’m just an educated real estate agent who knows a good thing when he sees one. There is so much inventory at such reduced prices. The main reason for this rate cut IMO is the stock prices falling. Consumers need to have more confidence in this economy before it can turn around.
This move reminds me of the movie “The Core”. The premise of this movie is that the Earth’s “core” has stopped moving and the EMF (electro magnetic field) that surrounds the earth has started to deteriorate. So they send a group of scientists to the center of the earth to “jumpstart” the core to make it move again. A little hokey but entertaining nonetheless. Back to the Feds. Lowering the rate is like getting out a giant pair of jumper cables to get this economy started on an upward course.
This economy ( or lack thereof) affects EVERYONE. Noone is immune to it. We’ve seen (in our ‘state”) loss of jobs, high gas prices, people losing their homes etc. Is there no end in sight? We are all in this together.
http://www.guardian.co.uk/business/2008/jan/22/useconomy.marketturmoil1
Robert L Brown
Five Star Real Estate
616 366 7030
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