Obama Refinance Plan – Mortgage Interest Rates Held Lower by Government
Posted on | February 23, 2010 | No Comments
The Obama refinance plan was created to help all homeowners have the opportunity to lower their mortgage interest rate. At the present time mortgage interest rates are being held lower by the government. The Federal Reserve Bank, which is being encouraged by Pres. Obama and the government, purchases mortgage-backed securities to lower mortgage rates.
Although the Federal Reserve Bank is not necessarily a government entity there is a great relationship between the president and the Federal Reserve Bank. The Federal Reserve Bank chairman Ben Bernanke and Pres. Obama have had many lengthy conversations about keeping mortgage interest rates low.
With mortgage rates continuing to be low now is the time to consider refinancing your current home mortgage. President Obama has urged Americans to save money by refinancing today. You could end up saving several hundred dollars a month on your mortgage payment by refinancing.
Unfortunately, the Federal Reserve Bank is going to stop purchasing mortgage-backed securities at the end of March. This could push mortgage rates higher and some analysts predict that mortgage rates could move up a full percentage point. You do not want to miss out on the current low interest rates before this happens.
Author: Jeremy North
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