The Fed has announced a major expansion of its mortgage-backed security purchase program by $750 Billion.

Thought you’d find this interesting. We’ll have to see how the mortgage rates react to this news:

For immediate release

Information received since the Federal Open Market Committee met in January indicates that the economy continues to contract.  Job losses, declining equity and housing wealth, and tight credit conditions have weighed on consumer sentiment and spending.  Weaker sales prospects and difficulties in obtaining credit have led businesses to cut back on inventories and fixed investment.  U.S. exports have slumped as a number of major trading partners have also fallen into recession.  Although the near-term economic outlook is weak, the Committee anticipates that policy actions to stabilize financial markets and institutions, together with fiscal and monetary stimulus, will contribute to a gradual resumption of sustainable economic growth.

In light of increasing economic slack here and abroad, the Committee expects that inflation will remain subdued.  Moreover, the Committee sees some risk that inflation could persist for a time below rates that best foster economic growth and price stability in the longer term.

In these circumstances, the Federal Reserve will employ all available tools to promote economic recovery and to preserve price stability.  The Committee will maintain the target range for the federal funds rate at 0 to 1/4 percent and anticipates that economic conditions are likely to warrant exceptionally low levels of the federal funds rate for an extended period.  To provide greater support to mortgage lending and housing markets, the Committee decided today to increase the size of the Federal Reserve’s balance sheet further by purchasing up to an additional $750 billion of agency mortgage-backed securities, bringing its total purchases of these securities to up to $1.25 trillion this year, and to increase its purchases of agency debt this year by up to $100 billion to a total of up to $200 billion.  Moreover, to help improve conditions in private credit markets, the Committee decided to purchase up to $300 billion of longer-term Treasury securities over the next six months.  The Federal Reserve has launched the Term Asset-Backed Securities Loan Facility to facilitate the extension of credit to households and small businesses and anticipates that the range of eligible collateral for this facility is likely to be expanded to include other financial assets.  The Committee will continue to carefully monitor the size and composition of the Federal Reserve’s balance sheet in light of evolving financial and economic developments

Voting for the FOMC monetary policy action were: Ben S. Bernanke, Chairman; William C. Dudley, Vice Chairman; Elizabeth A. Duke; Charles L. Evans; Donald L. Kohn; Jeffrey M. Lacker; Dennis P. Lockhart; Daniel K. Tarullo; Kevin M. Warsh; and Janet L. Yellen. 

Beekman Point, Daniel Island

Today is perfect! It is in the mid 60s and the sun is shining. I went out to Beekman Point where we are developming some new homesites and was absolutely stunned by the sweeping views. Unfortunately, I didn’t think to snap some photos with my iPhone but will try to do so later today.

It has been a really busy week and I feel pretty slack for not writing sooner. I’ve been feeling pretty tired during this last trimester of pregnancy and both work and home life have been amazingly busy.

We wrapped up the final session of our Bible Study yesterday morning and I’m so thankful for all I have learned! I hope our next one will be as instrumental to me as the one I just finished.

The boys get busier and more fun every day! School, tee-ball, swimming, playtime and daily life meld together into a beautiful tapestry of grubby hands, skinned knees, shining faces, bedtime stories, silly songs, messy spaces, endless prayers, and plenty of hugs that take my breath away. Can you believe that I’m reading my 5 and 4 year olds “The Black Stallion” and they are enjoying it?!? I wouldn’t trade my life right now for anything in the world 🙂

Here is a photo of what the boys put together to welcome Poppy and Grammie to our house. They did it on their own and were VERY proud of their welcome party!


In addition, the real estate market is picking up. I’ve been busier than I’ve been in over six months. I’m daily reminded how much I love my career! This weekend, I helped a dear mother of two find the perfect home for her family. She is SO excited about it and I was thrilled to be a part of helping her narrow in on the home that would meet all of her needs and desires.

Back to Beekman Point. Here is a rendering of the area. It is on the south end of Daniel Island and a few of the homesites have expansive river views and large oak trees. Two of the homesites are much larger than our usual offerings. Initially we had planned for the pricing of the two large lots to be around $700,000 but I now believe that they will be in the low to mid $500,000s!!

Visit: for more details. I’ll add some photos when I’m able to upload them.

Published in: on March 18, 2009 at 3:16 pm  Leave a Comment