Fed Finally Reaches Decision to Not Raise Interest Rates

Today’s News Synopsis:

 

The Fed has finally reached a decision to not raise interest rates for this month.  The NAHB reported a decrease in housing starts by 3%, putting them now at 1.126 million.  Freddie Mac reported mortgage rates have not shown much change with 30-year rates at 3.91% and 15-year rates at 3.11%.

 

In The News:

Housing Wire “Freddie Mac: Mortgage rates will weather any Fed interest rate hike” (9-17-15)

“Mortgage rates remained largely unchanged in the lead up to the Federal Open Market Committee’s announcement on Thursday on whether interest rates will rise or not, the latest Freddie Mac Primary Mortgage Market Survey said.”

NAHB – “Housing Starts Edge Lower in August, Permits Up” (9-17-15)

“Nationwide housing starts dropped 3 percent to a seasonally adjusted annual rate of 1.126 million units in August, according to newly released data from the U.S. Department of Housing and Urban Development and the Commerce Department. Overall permit issuance rose 3.5 percent to a rate of 1.170 million.”

Housing Wire “It’s official: Fed punts on interest rate hike” (9-17-15)

“The Federal Reserve said today it is not raising federal funds interest rate this month.  “To support continued progress toward maximum employment and price stability, the Committee today reaffirmed its view that the current 0 to 1/4% target range for the federal funds rate remains appropriate,” reads a statement from the Federal Open Market Committee.”

Bloomberg – “Under the Hood of the U.S. Housing Starts Is Tamer Rental Inflation” (9-17-15)

“Here’s one key takeaway from the Commerce Department’s report Thursday in Washington that showed housing starts fell in August, indicating the real-estate recovery will take time to evolve.”

Housing Wire “Fannie Mae: Lenders say it’s now easier to get a mortgage” (9-17-15)

“Lenders witnessed an easing in lending standards across all loan types over the third quarter, according to Fannie Mae’s third quarter 2015 Mortgage Lender Sentiment Survey.”

Mortgage Professional America “US consumer borrowing jumps $19.1 billion in July to record $3.45 trillion” (9-17-15)

“U.S. consumer borrowing climbed to a fresh record in July, the latest evidence that the U.S. economy is on track to grow at a healthy pace in the second half of this year.”

Housing Wire – “Fannie Mae says housing can survive market volatility this year” (9-17-15)

“Mortgage rates remained largely unchanged in the lead up to the Federal Open Market Committee’s announcement on Thursday on whether interest rates will rise or not, the latest Freddie Mac Primary Mortgage Market Survey said.”

 

 

Bruce Norris of The Norris Group will be speaking at the 2015 Inland Southern California Economic Forecast Conference on Thursday, October 1.

Bruce Norris of The Norris Group will be presenting his talk How to Create a $100,000 Payday Per Deal in 2015 on Thursday, October 8.

Bruce Norris of The Norris Group will be presenting Cashing in on a Boom: Investing in Quadrant 4 on Saturday, October 10.

Bruce Norris of The Norris Group will be presenting the 8th annual I Survived Real Estate 2015 on Friday, October 16.

The Norris Group will be holding its Property Buying Bootcamp on Tuesday through Thursday, October 27-29.

 

Copyright: Image from www.flickr.com/photos/lendingmemo

 

Looking Back:

The NAHB reported builder confidence increased to 59, bringing it to its highest level in nine years.  Mortgage applications also increased from the previous week by 7.9% according to the Mortgage Bankers Association.  Freddie Mac reported the multifamily sector was increasing drastically despite the housing market as a whole still struggling.

 

For more information about The Norris Group’s California hard money loans or our California Trust Deed investments, visit the website or call our office at 951-780-5856 for more information. For upcoming California real estate investor training and events, visit The Norris Group website and our California investor calendar. You’ll also find our award-winning real estate radio show on KTIE 590am at 6pm on Saturdays or you can listen to over 170 podcasts in our free investor radio archive.


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