The Federal Reserve began its announced program of buying $500B worth of mortgage securities from Fannie Mae and Freddie Mac last week, driving mortgage rates even lower.  The nationwide average for a 30 year fixed rate loan, according to Freddie Mac, now stands at 5.01%, down from 5.10% the previous week - the 10th straight week of decline.

Locally, a few banks were advertising rates in the high 4%'s and a couple of our clients have even locked in at rates as low as 4.9% for purchases. 

Cheap money indeed.