FED CUTS RATES AGAIN – NOW 3% TO BANKS
WHAT DOES THIS MEAN IN TRUCKEE/LAKE TAHOE??
According to CNN News (1-30-08) the lowering of the interest rates charged by the Fed to banks to 3% should mean lower home mortgage rates. The current loan rate for conforming loans is close to 6% and at a maximum of $417,000. Loans going over that amount requires buyers to apply for a Jumbo loan which carries a higher interest rate and makes it a little more difficult to qualify. The unfortunate fact is the average home prices in
The next move that is being considered as part of the governments economic bail out package, besides the roughly $150 billion in direct payments to the citizens, is the raising of the maximum, conforming FHA loan amount to roughly $700,000. This move would assist people in purchasing homes in the Truckee/Lake Tahoe area and is estimated to show immediate results, since there is an abundance of inventory in that price range both in Truckee and Lake Tahoe. The raising of the conforming loan to $700,000 would make it easier for people to qualify.
On a brighter note, snow has been falling at the ski resorts such as Squaw Valley, Alpine Meadows, Sugar Bowl and Northstar, to name a few, for almost 5 weeks. Our snow pack, as of this writing, is 120% of normal for this date. This turns out to be good news for skiers and assures a steady flow of people to the many world class ski resorts in and around Truckee and
