I hope you had a relaxing Easter weekend. This weeks update covers the news about last weeks Bear Stearns bailout. Ever thought about the Pros and Cons of buying a car versus leasing one? This week’s update covers it all! Also, just in case you didn’t get a chance to read why new mortgage rates go up after a Fed cut see the attached article.
I’d like to address one topic today. Have you ever noticed in the Desert Sun that many of the articles are written by the Associated Press? Ask your clients who wrote the articles they are reading and quoting and ask them if it’s a nationally related article or a local article. You may be surprised!
The Fed, this week, again lowered the Fed funds rate by another 0.75% to 2.25% making the prime rate now 5.25%! This is good news for consumers and holders of Home Equity Lines of Credit that are tied to the Prime interest rate.
Last Friday the Fed reduced the discount rate by 0.25%. This came as a surprise as Friday (after-hours) rate decreases by the Fed haven’t happened in the last 30 years. The reason they did this was to help Bear Stearns and their investors.
Attached is this week’s rate update! Please call with any questions and remember I’m never too busy for any of your referrals! Make it a great and productive weekend!