Did you hear the rumor about 4 ½% 30 year fixed home mortgage rates? I have it from a good source that congress is stalling the approval until after January 20, 2009, but it will happen. So get ready if you plan to buy a home this year. If you need to sell first you should get your house listed ASAP to take advantage of the influx of buyers that will be coming in the market. If you are going to help your kids get a house, then get the details worked out. If you don't have a good lender then get one or contact me for a referral and get pre-qualified now. Once the real estate market is jump started this program will go away.
Honestly, this will be a real blessing to me and our business, but I'm not sure that it will be good for our country. The artificially low (subsidized) rate will create its own problems. It doesn't help people who already have a home. It doesn't help folks who are struggling under their current mortgage. It may not help you, but it will be great for the people who buy homes during the program. Its purpose is to get the fence sitters off the fence. It most certainly will help those who have their homes for sale now. So, I guess if it helps absorb the oversupply of homes on the market we all benefit by our home values recovering, right? Rates are barely over 5% now.