Mortgage rates have been averaging 4.62% just prior to the Christmas holiday. The Federal Reserves decision to raise the  short-term key interest rate hasn’t had much on an effect on mortgage rates. The Fed’s key rate is not directly tied to mortgage rates, but does often influence it.

Good news for Buyers and Sellers
Moderate mortgage rates are being felt in the housing market.  After the Lansing area’s  seasonal sales decline beginning in mid-August, existing home sales rose through mid-October to mid-December and are essentially at the same level as in past years. This late fall rebound in sales indicates that home buyers are sensitive to mortgage rate changes.  Should mortgage rates remain stable in the first quarter or 2019 you can expect to see buyer enthusiasm translate to a steady volume of home sales.