The Federal Reserve has announced that they will gradually stop buying Mortgage Backed Securities. They will stretch out buying mortgage back securities until March 2010 - they had planned to stop purchasing mortgage backed securities in December 2009. Expect interest rates to shoot up once the Fedeeral Reserve stops purchasing Mortgage Backed Securities and house and property values to decrease as mortgages go up because the Federal Reserve has been keeping mortgage rates artifically low by purchasing mortgage backed securities.
My name is Robin Speronis and I am the Owner/Broker of Zen Real Estate of Southwest Florida,www.AskZenRealEstate.com, 1-877-890-0121 and Mortgage Rates and the availability of Mortgages will have an increasing effect on property and house values in Southwest Florida.
www.AskZenRealEstate.com will post weekly Major Mortgage Rates and Indicators
for the week ending November 6, 2009...
30 Yr FXD, natl avg 4.98%
15 Yr FXD, natl avg 4.40%
5/1 ARM, natl avg 4.35%
1 Yr ARM, natl avg 4.47%
CODI 0.864%
COSI 2.940%
12 MTA 0.544%
COFI - 11th District 1.272%
COFI - Federal 1.695%
Federal Funds (target) .25%
WSJ Prime Rate 3.25%
1 Yr CMT .34%
USD 6M LIBOR .550%
USD 12M LIBOR 1.161%
5-Year Treasury 2.30%
10-Year Treasury 3.51%
30-Year Treasury 4.41%