Mortgage Blog

Why are Mortgage Rates Dropping?

November 25th, 2008 9:12 AM by Rod Cameron

The Fed announces it will purchase direct obligations of housing-related government-sponsored enterprises (GSEs)--Fannie Mae, Freddie Mac, and the Federal Home Loan Banks--and mortgage-backed securities (MBS) backed by Fannie Mae, Freddie Mac, and Ginnie Mae.

As volitile as the financial markets are this latest annoucement has created a flurry of purchasing of these mortgage-backed securites.  Thus raising the price of the bonds and lowering mortgage interest rates.

What this means to the homeowner consumer is a great opportunity to either refinance or purchase.  Now is the time to get a Annual Mortgage Review to see if this current rate environment can benefit you.

If you have any questions, do not hesitate to contact me.

Posted in:General
Posted by Rod Cameron on November 25th, 2008 9:12 AM


Cameron Financial Services, Inc

Powered by MAC5 Mortgage

225 Union Blvd. Ste. 350
Lakewood, CO 80228