Interest rates have fallen to all-time lows. The Fed pulled out all the stops this week, decreasing the Fed Funds rate to a range between zero and .25%. The impact to mortgage rates has been immediate as many investors have priced loans out at all-time lows.
We have seen in recent weeks that there is talk about the U.S. Treasury working to lower interest rates for purchases to 4.5%. While this would be welcomed, for many buyers the impact to their payment would be insignificant. On a $200,000 purchase, the difference in payment is less than $15 a week.
One other point, the most recent government legislation designed to help the housing market is Hope for Homeowners which, to date, is hopeless. What we know is rates are fantastic and great properties still sell quickly today. Often, we're seeing multiple offers on properties that are bargain priced, many times selling even over asking!
SO- if you find a property you love, don't wait, make a move!
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