Get your House On, Forget Stocks Buy a Home

Federal Home Loan Mortgage Corp (NYSE:FMCC) and Fannie Mae (NYSE:FNMA) may be nothing but crap penny stocks, however the loans they are offering at an incredible 4.49% for a 30 year fixed is downright cheap.  Combine that with decade low housing prices and you got yourself a great long term investment that one day you can give to your kids or cash out in 20 years and take it all to Vegas.

Fellow Masters, if you haven't bought a home or second home, get to it, seriously.

(Reuters) Interest rates on 30-year fixed-rate mortgages, the most widely used loan, averaged 4.49 percent for the week to Aug. 5, down from 4.54 percent a week earlier and 5.22 percent a year ago, according to the survey.

Mastery Sponsors - Become one Today

Thirty-year rates have fallen to fresh lows in six out of the last seven weeks. Freddie Mac, the second-largest U.S. mortgage finance company, started the survey in April 1971.

Fifteen-year fixed-rate mortgages averaged 3.95 percent, down from 4.00 percent last week, the lowest since Freddie Mac began surveying this loan type in 1991. Fifteen-year rates have hit fresh lows in five of the last seven weeks.

With rates near their lowest since Freddie Mac started the survey, demand for loans to refinance or purchase homes has picked up, boding well for the market and the economy.

SOURCE: http://www.reuters.com/article/idUSN0525288220100805