the bottom of the real estate market

The decline in mortgage rates comes after aggressive moves by the Federal Reserve aimed at propping up the U.S. housing market. On Dec. 16, the Federal Open Market Committee lowered a key interest rate, and last month the Fed said it would buy $600 billion in mortgage-related securities and other debt issued by Fannie Mae, Freddie Mac and the Federal Home Loan banks.

The latest rate decline is likely to revive the ailing housing market. According to a survey by the Mortgage Bankers Association earlier this month, refinancings represented almost 77% of all mortgage applications.

But a refinance boomlet is also good news for the broader economy. Millions of homeowners still have costly adjustable-rate mortgages. With access to credit tightening, rates on consumer loans rising and the value of equities falling, the opportunity to lock into a fixed-rate mortgage and to reduce payments could relieve pressure on some household budgets.

On a $200,000 mortgage, for example, a shift from 6.25 to 5.25% interest can save more than $100 per month.

The lower interest rate offers buyers a chance to afford a more expensive home while keep on a budget.

With some local interest rates at 4.75% for a 30 year fixed rate some buyers feel they are seeing the bottom of the real estate market.

penny sales tax beginning January 1st 2009

The Horry County penny sales tax that voters approved in November 2008 will go into effect January 1st 2009.

The sales tax increase will show up on retail purchases beginning January 1st 2009.

The penny tax is to go for the construction of new schools in Horry County without raising property taxes.

80% of the proceeds will go to Horry County Schools, and the the rest will be divided between Horry-Georgetown Technical College and Coastal Carolina University.