What Was the Fed's Recent Decision on the Benchmark Rate?

Selling your Wasatch Front home? Get a free home value report Buying a Wasatch Front home? Click here for full MLS access Many of you may have already heard about the Fed’s recent quarterly meeting where they decided not to raise the benchmark rate.There is always a little bit of confusion about the difference between interest rates and the benchmark rate, so I want to clear that up. These two rates are not the same thing.The benchmark rate is basically the rate at which banks can borrow money. This means the affordability for banks borrowing money is still very, very low, and it also indicates that interest rates are likely to stay the same for now, as well.Many officials on the Fed board have said that they plan to do a third raise on the benchmark rate in the future, but this likely won’t be relevant until December. “ These two rates are not the same thing. ” As for now, we’re still seeing historic lows for interest rates. In fact, it’s likely that we’ll never see rates these low again. As a consumer, you should definitely take advantage of this.If you’re ready to make a real estate transaction, my team and I would love to help. We can give you some great referrals.If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.