Wednesday, January 31, 2007

FOMC Keeps Interest Rate Unchanged - Sees Stabilization in Housing Market

At their regular meeting today, the Federal Open Market Committee voted to hold the fed funds rate at 5 1/4 percent. The statement, releases with the announcement of the rate hold, expressed "tentative signs of stabilization have appeared in the housing market" .

What does this mean for home buyers that have been on the side, waiting for "something" to happen? Some things are obvious, the interest for home loans is not going down and prices are leveling off. Although there are still many houses on the market, some owners have taken their property off the market, generally out of frustration with not having sold after many days. This will help to balance supply with demand.

Bottom line, this looks like a good time for serious buyers to get serious.

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