Sunday, December 7, 2008

4.5% Mortgages: Deja Vu All Over Again

(Clusterstock.com) Stop us if you've heard this one before.

The Treasury is planning to do something or other to get long term fixed mortgage rates down to 4.5% in order to halt the slide in home prices. The idea is that low rates will allow borrowers to afford more expensive homes and bigger mortgages, which will drive up home values.

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