The fed's made the decision to buy bonds and mortgage backed securities in hopes of bringing down long term interest rates.  So far so good.  Interest rates have dropped under 5% to their lowest levels in more than 30 years.  Whether you are a buyer or a seller, this is good news.  If you have a higher interest rate and don't plan on selling, contact your lender about refinancing.  If you are a buyer, there is no better time to buy with rates under 5% and with the $8000 tax credit available to many in 2009.