The Fed has kept its main interest rate at historic lows near zero since December 2008, which in turn has kept mortgage rates at attractive lows.
But lending standards have tightened since the housing bubble burst, and Americans are hesitant to make big purchases on credit. Even record-low rates have not been enough to attract buyers and get the housing market moving again.
As foreclosed properties continue to flood the market and keep home prices low, real estate remains one of the weakest parts of the economy.
