Financial Update by Maurice Soussé

Rates are pretty flat this week and the FED meeting was a great event for all of us in real estate. Chairman Yellen made it very clear she expected only moderate inflation and rates to stay low for a long time period. Low to you and I can certainly be different than low to the FED. 5% interest rates on home loans is very low. Our current borrowers would have an issue if we went from 4.125% today to 5%. Beauty is in the eye of the beholder (or the person paying the mortgage).

Chairman Yellen also brushed aside any immediate fears of inflation citing labor markets as tepid at best. The US Economy is certainly coming back but has a great deal of work ahead of it.

This brings me to a great quote from Bo Bennett who said “Frustration, although quite painful at times, is a very positive and essential part of success.”