Tuesday, April 6, 2010

Fed Pulling The Plug

We have talked about this for months. The Federal Reserve Board has finally reached the date that they will no longer purchase Mortgage Backed Securities. The devastation of the secondary market for home loans was one of the major effects of the financial meltdown which occurred over a year ago.

The Fed took definitive actions to keep rates on home loans down as they kept overall rates down while the government took numerous other actions to right the financial ship. Now the Fed is ready to see if the private markets will pick up the slack and allow home loans to be originated and sold on the open markets and at a price that will not halt the economic recovery, particularly in the real estate sector.

Note that rates have already increased moderately in the past two weeks. There have been many explanations for this increase, including tepid response to government bond auctions. However, it is entirely possible that the tepid response was due to anticipation of this April 1 date.

Now speculation moves to another level as it appears we will ponder as to whether rates will continue to rise and whether the Fed will start selling some of the hundreds of billions of dollars in bonds they currently own. What will happen? No one actually knows. However, with rates still very low, housing prices down and the tax credit scheduled to end at the end of the April, this month could be the last of the great home purchase opportunities in history. The employment numbers just released for the previous month represent good news and the last minute rush to sell homes could be even better news. Let's just hope that things continue to improve and at this point even a slow pace is better that going in the other direction.

Milicki & Associates, Inc

110 Evans Mill Dr. Suite 103

Dallas, GA 30157


Wednesday, March 3, 2010

Homeowner's Symposiom

Want Answers to the hard questions?
We may have them for you!
Where: Paulding Chamber of Commerce
455 Jimmy Campbell Pkwy
Dallas, GA 30157

When: March 6th
10 a.m. - 12 p.m.
Free to the public

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By attending this home buyer’s tutorial and discussion group you will be able to make an informed decision.

We will provide information from seasoned professionals in every area of the home buying process.

There will be a Q & A session to answer your individual questions.

There is still available 100% financing or low down payment options for home buyers. Take advantage of the great housing inventory, low mortgage rates and LOW prices and find your home today PLUS learn how you can get up to $8000 back from the government!
If you are 3 months, 6 months, or even more than a year away from wanting to purchase a home, then this workshop is important for you!

If you would like more information and all the details on this Workshop or others in the future, please e-mail us at info@milicki.com or check our website for more upcoming events at http://www.milicki.com/

Sponsored by: Milicki & Associates; Regions Bank; Weissman, Nowack Curry & Wilco, P.C.; American Family Insurance; AmeriSpec