Fed Lowers Rates

The Federal Reserve lowered rates by .25%

The intention is to promote moderate growth and try to get us back on track after the most recent mortgage "crisis."

The tone of the Fed's meeting led many to believe a future rate cut is not a guarantee. For now, the concensus is the Fed will not cut rates again at their next meeting in December.....further speculation on this will continue with the results of economic data reported between now and then.

For now, this rate cut will immediately affect the prime index which will go down to 7.5% (we were as high as 8.25% a few months ago). First mortgages may dip slightly as well, but it may take a day or so for us to see those results.