Interest Rates Notification
St George Utah Real Estate Interest Rates Notification
We wanted everyone to know- interest rates are going to go up, not making it any more affordable to buy a St George Utah home for sale.
As part of the government stimulus package to stabilize the housing market, the Federal Reserve has been buying up Mortgage Backed Securities (MBS). However, they have stopped doing that and have announced several times that they would be pulling out of the business of manipulating them and becoming now, instead, a seller. The announcement is that on March 31, 2010, they will remove the demand they have been creating as buyers and will instead become a seller of MBS, putting more supply into the market. This in turn will have the natural effect of pushing Bond prices lower and therefore home loan rates will go higher.
Word to the wise, for those on the precipice of buying anyway, do not procrastinate buying your home soon. We wanted you to know the news, to keep you informed, so that you could feel as comfortable as a baby in a blanket toward moving ahead now, in purchasing your St George Utah Real Estate. It is not very often that what is going to happen to interest rates is as predictable as they are now. Go to Brian's current blog on Active Rain network for Brian's St George Utah real estate market predictions.