Following their two-day meeting, the Federal Reserve indicated yesterday that they have no plans to raise interest rates, and will be purchasing more bonds, more quickly. The net result is a significant drop in mortgage rates to a 52-week low, according to Mortgage News Daily .
Joseph Watts, Senior Vice President of Residential Lending at NASB, says “Today's Fed announcement marked a significant change in their policy. It amounts to additional bond demand, which will keep rates firmly in check. This in turn caused Mortgage Backed Securities and Treasury yields to both hit their best levels since September 2017, with the prospect of additional future gains.”
Watts adds the time is now to refinance or buy . “This is a great opportunity to refinance into a lower rate or to take advantage of the equity in your home for cash. For those purchasing this effectively increased your buying power. Lower rates combined with stable home prices will allow you to buy slightly more home than you could yesterday”, says Watts.
If you would like to know how you can take advantage of these lower rates, contact the experts at NASB at 855-465-0753 or click here for a free rate quote.