Hi, Matt Padgett with Keystone Mortgage here. Last Wednesday, the Federal Reserve raised the FED funds rate by a quarter of a point, bringing the rate to 5.25% which is way higher than it was several years ago when the rate was effectively zero. The good news is Jerome Powell, the chairman of the FED, said that this may be the last interest rate hike they are going to have to do since inflation is coming down and it looks like the economy has slowed somewhat from the last couple of years. The good news for homeowners is we’re hoping that later this year or even early next year the FED may even lower this FED funds rate, which will impact mortgage rates and bring them down. For more details, give us a call at (865)-909-0211.
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