The Fed raised the federal funds rate by 0.25% at their March meeting
I’m sure you have heard federal rates just went up. If you are planning a home purchase or a refinance, it may pay to act before further increases.
Here is what we know about the increase-
This is the first increase since 2018.
The Federal Reserve Board controls the federal funds rate and discount rate, which are charges for overnight loans from bank to bank or from the Fed to member banks.
The rate was lowered to near zero in March 2020 in response to the pandemic.
Here is some speculation-
Even though mortgage rates aren’t directly controlled by the Fed, they had already risen in anticipation of Fed action. It is widely thought that they will probably continue this pattern in the coming months as they have indicated more increases will likely come this year.
If you are looking to buy or sell give us a call, we know the ups and downs of the market and are here to help! Woods Hometown Realty, Stephanie Woods Team 928-237-4455 prescottazhomefinder.com
