Ohio, AK (PressExposure) July 22, 2009 -- The Federal Reserve announced on Jun. 24 that it will keep its benchmark overnight interest rate at the all-time low level of zero to 0.25%, and will continue to buy long-term Treasury bonds and other government-backed securities to back up the nationâs mortgage and housing markets and to improve the conditions in private credit markets.
The Fed said in its statement âEconomic conditions are likely to warrant exceptionally low levels of the federal funds rate for an extended periodâ.
Average interest rates for 30-year mortgage loan ticked up a little after the Fedâs announcement, but are still at historically low levels. The average interest rate on a 30-year fixed-rate mortgage was only 5.42 with 0.7 points on average for the week that ended on June 25, 2009, the date of the Fedâs statement. The average rate for a 15-year fixed-rate mortgage loan was 4.87 percent, with 0.7 points on average for the same week. Those averages are according to Freddie Macâs weekly survey of mortgage loan interest rates.
âMixed economic reports on the state of the housing market helped hold mortgage rates fairly flat,â said Freddie Mac Chief Economist Frank Nothaft during that week.
The news of the stable rate has brought feeling of happiness for the homeowners who were troubled because of high interest rates.
The Fedâs statement has brought an optimistic approach towards the economy of the country. These policies have potential to change the present scenario of the economic condition of the country. People will grab these opportunities and everything will be on track within some days. You can get more information at [http://www.homemortgageloanz.com].