Federal Reserve Raises Interest Rates

The Federal Reserve Board (the Fed) has just recently raised it’s interest rate for the first time in over a year. What does that mean? Let’s take a look.

 

For starters, it is important to understand that the Fed adjusts the rate to influence the economy. For example, if things are going well, a rate increase may slow inflation. If the economy is struggling, a rate drop could be the boost it needs. In today’s case, a low amount of inventory is met with a substantially higher demand from buyer’s. This recent change moved the key interest rate by a quarter point, from a range of 0.25-0.5 percent to a range of 0.5-0.75 percent. Why all the fuss? The Fed rates can cause the bank’s to raise their “prime” rates, which are often used to calculate costs of revolving credit or home equity lines of credit. While the increase was modest at best, we will continue to keep an eye on it as we move through 2017 and see how it affects our constantly evolving market.

This Week’s Featured Property:

 

orig_boomver_1_207115-1   2410 Smoky Vista Way – $1,750,000 -Luxurious, spacious, & very well-built, 5 BD/4.5 BA post & beam/log structure, which includes a spacious detached guest home, located at the top of a knoll with spectacular 360 degree views of the Smoky Mountains and surrounding ridge lines. Only mins. to dwtn. Pigeon Forge, Sevierville, Dollywood with easy paved road access. Currently one of the highest grossing income-producing properties on a well-established rental program (even with over 90 owner days during peak times). This amazingly well-built property includes a nearly 5,200 sq ft main home, as well as an over 2,000 sq ft guest home, complete w/a spacious, detached 2-4 car garage & a large, attached 2-car carport, as well as level parking. This property has undergone considerable remodeling & refurbishing, including all re-stained exterior surfaces, new tile surfaces & showers for the bathrooms, new bedroom carpeting, ceiling. Four beautiful waterfall features that surround the in ground pool and mountain stone patios combine with many more architectural features that truly make this property one-of-a-kind. In the main house, you have a large great room w/high, vaulted ceilings, amazing hand hewn exposed king trusses, granite countertops, a large bedroom on each level that features an in-room F/P, private bathroom, & walk-in closet, a large lower level recreation room, a separate lower level den area, & much more. The guest house, features 2 BD’s, 1 BA, a large great room unto over the detached garage. The grounds are walkable and even include a small putting green. A truly great property that is worth the visit alone just to see it – come see it for yourself today before it’s too late!