Gold prices are dropping. Oil prices are dropping. Mortgage rates are dropping! For the first time since January, the rate for a 30-year fixed mortgage hit 5.75%. Reports this week also indicated that foreclosure rates statewide dropped in February for the first time since last summer. The Feds slashed short term lending rates again, and Fannie Mae and Freddie Mac were given the green light to pour an additional $200 billion dollars into mortgage loans. That, combined with the temporary increase in conforming loan limits for Fannie, Freddie and the FHA, is all good news for fast acting buyers and smart sellers. One other bright spot – Coldwell Banker’s bay area offices are reporting that investors are starting to come back into the market and most economists agree that the return of investor purchasing is an early indicator of a market that is ready to bounce back.
