The Fed to decrease mortgage rates… for now

The Federal ReserveThe central bank in control of regulating the U.S. financial and monetary system. (the Fed) has finally announced plans for its third round of quantitative easing (QE3). Touted as a total game changer for the still floundering U.S. economy, the Fed has vowed to purchase $40 billion in mortgage-backed bondsAn assetA valuable item which can be converted to cash by its owner.-backed security representing a claim on the cash flows received on a mortgage loan. per month until and after the jobs market has fully recovered — at least until 2015.

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The Fed says to buckle up – the bumpy recovery is not over

first tuesday insight

InvestorA purchaser who holds a property long-term on a buy-to-let basis as an income-producing investment. Contrast with a speculator who buys-to-flip a property for fast profits, rather than annual income. confidence is already on the rise due to the Fed’s plan to continue aggressive quantitative easing until the economy is clearly out of the woods — a strong sign for jobs and thus good news for the real estate market.