The Fed Rate Cut will Boost Condo Sales

Here at www.newcondosonline.com we love the fact that the Federal Reserve just cut rates by 50 basis points. This is exactly what the economy and especially the housing market needed. This will allow mortgage rates to fall which should directly help the condo market right now. It will allow people to buy new homes and also make it easier for people to sell their current homes with more buyers being in the market.  All new home buyers care about is really the size of their mortgage payments. This rate cut will allow monthly payments to be lower and should encourage new buyers and help to stabilize the current market.

It will be interesting to see how this affects current mortgage lenders. Recently some have gone out of business and many have taken some of their loan programs off the market. With rates being lower, we may see some new programs come back on the market and less lenders leaving the market.  High prices condos which have been slow to sell recently might also get a boost, as this should also help the rates on jumbo loans as well.  Good Job Fed!   Long live the condo market!