Impact Of Lowered Fed Rate
October 27, 2007
A recent development that should help lenders provide restructured or refinance mortgages for troubled borrowers is the substantial lowering of the federal funds rate by a half percentage point on September 18. This will ultimately bring down mortgage rates and related monthly payments, according to many economists. The lowered rate will probably help home buyers as well as those needing assistance with their existing loan. However, some economists disagree, saying the lower Fed rate will have little or no impact on mortgage rates.
"By cutting the federal funds and discount rate by a half a percentage point, the Fed has sent a strong signal to financial markets and consumers that it intends to ensure that the economy keeps moving ahead and the housing market regains its strength," said Brian Catalde, president of the National Association of Home Builders.
Posted in All Things San Diego, Helpful Hints, Lending, Local Business, Real Estate, Things of Interest
Loving the San Diego Coast!
