Winners and Losers

It’s an election year and the Fed would love to deliver on their promise to raise interest rates even higher.  A lot of folks would stand to gain with a rising dollar (banks, corporate investors, and life insurance companies), but some folks are going to get hit hard by the Fed’s move to raise rates (the Euro, gold, and oil).  This is a good article that explains the delicate balance the Fed has to strike to grow our economy (CLICK HERE).

 

Some are very critical of the Fed, saying that they are retreating from their monetary policies – that they are freaking out right now because the markets aren’t reacting the way they want – unemployment has not improved, oil prices are very low, and European and Asian markets are weak (CLICK HERE).  In fact Japan shocked the world when they lowered their cost of funds rate to a negative number - .1%.  That means that they’re lending money to banks at a loss to stimulate their economy – OUCH!  (CLICK HERE).

 

But HERE in the good ol’ USA, things aren’t that bad on the housing front.  We have more demand than supply and rates should stay low through Spring and some predict longer (CLICK HERE) – YOU’RE A WINNER!!! (if you are connected to real estate in any way).

Check out OUR rates, we’ve got some of the best in town!

Based in Folsom, California, Sierra Pacific Mortgage has 112 offices nationwide. The Easterbrook Team at Sierra Pacific is associated with the #1 office in the nation for SPMC for 2015.  We want to thank you so much for the support.  Come by and visit our office at 806 Bidwell Street in Folsom.  Keep the loans coming and we’ll keep closing them at lightning speed with a positive, smooth, and transparent experience.  Call us at (916) 850-6050.