This excerpt is taking straight from the Realtor.org This past week has definitely been interesting to say the least. This just confirms that it IS still a good time to buy. Please let me know what you think! I welcome all comments.
Fed Rate Cut Makes Homebuyers Winners
WASHINGTON, September 18, 2007 –
The Federal Reserves decision to ease its monetary policies will boost a housing market beginning to rebound, help restore consumer confidence in the real estate market, and could give a helping hand to borrowers with adjustable-rate mortgages(ARMs), according to the National Association of Realtors® .
“We believe that the Federal Reserve Board made the right move today in lowering the interest rate,” said Pat V. Combs, president of the National Association of Realtors ® and vice president of Coldwell Banker-AJS-Schmidt in Grand Rapids, Mich. “Making borrowing more affordable will make money more available and this could go a long way in helping turn around the sluggish housing market.”
NAR, as the leading advocate for homeownership, believes that the Fed rate cut, along with home prices coming down in many locations and an increased inventory of homes to choose from, makes this is an excellent time to buy, Combs said. “The housing market has been correcting itself and restoring affordability. With interest rates on many conventional loans still at near historic lows and today’s rate cut possibly making loans even more affordable, we believe the housing market will begin to recover over the coming year,” Combs said.
Combs added that the lowered rate could also help those with ARMs as they reset.
The National Association of Realtors® , “The Voice for Real Estate,” is Americas largest trade association, representing more than 1.3 million members involved in all aspects of the residential and commercial real estate industries.