I read this article and thought I would share it with you as it isn't doom and gloom!!!!!!! Let's hope that it's true.
Daily Real Estate News November 6, 2007Could Mortgage Rates Drop to 5 Percent?
The manager of the world's largest bond fund predicted Monday that the Federal Reserve "cannot afford" to let U.S. housing prices fall and will have to cut interest rates aggressively to prevent it from happening."A Fed cannot afford to let homes go down by 10 to 15 percent like we saw in Japan," Bill Gross, chief investment officer of Pacific Investment Management Co., said on CNBC Television. "We've only begun to see the pain from the standpoint of the home owner in terms of those monthly payments. Defaults and delinquencies will increase as we extend throughout 2007 and then into 2008."Gross expects the Fed to cut the federal funds short-term rate to 3.5 percent, which implies that the 30-year mortgage rates will come down to 5 percent to 5.5 percent.
Source: Reuters News (11/05/07)
About Me
- Gwen Williamson Mathews
- Yes, I sell Real Estate and yes, I do really love it! It's rewarding and I’m pretty darn good at it. I’ve always had a thing for houses and been fascinated by architecture but mostly, I like the people. Houses are fun however it’s clients that keep me in this business day after day! Nothing is more satisfying than helping my clients find the home of their dreams and when the time comes to move on, being there to help them sell that same house as quickly and as profitably as possible. Once upon a time I worked in higher education administration. I have an undergraduate degree from Transylvania University in English and Sociology and a master’s degree from The University of South Carolina (USC). After about 15 years of working in development and student life positions at The Savannah College of Art and Design, USC-Columbia and Transylvania University, I saw the light of real estate and discovered that I could be just as helpful to people as a Realtor as I was as a college administrator. Plus, I never have the same day twice! When I’m not working, I love spending time with my family, writing, reading, travelling, running, hiking and cooking.
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