Business Rundown: President's plan to make housing more affordable

Mortgage rates fell to 6.06%, the lowest in over three years, and the article reports the President plans to direct Fannie Mae and Freddie Mac to buy $200 billion in mortgage-backed securities to help lower borrowing costs.

Mortgage rates have eased again, and policymakers are proposing steps aimed at reducing homebuying costs. According to Freddie Mac, the average rate on the 30-year fixed mortgage fell to 6.06% from 6.16% the prior week. The President has outlined measures intended to provide direct relief to prospective buyers. Some proposals in the article focus on changes to the roles of government-sponsored enterprises and large institutional investors. Key points: - Freddie Mac reported the 30-year fixed mortgage rate averaged 6.06%, down from 6.16% the previous week. - The President plans to direct Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities to help lower borrowing costs. - The administration is reported to be seeking a ban on large institutional investors buying single-family homes and to allow use of 401(k) funds for down payments. - Jessica Lautz, Deputy Chief Economist and VP of Research at the National Association of Realtors, discussed market conditions and these policy ideas on FOX Business with Gerri Willis. Summary: Lower mortgage rates and the President's proposed actions are presented as efforts to make homebuying more affordable and to change investor participation in the single-family market. Undetermined at this time.