In real estate and finance, the Federal Reserve System is the central banking system of the United States, governed by the Federal Reserve Board of Governors. It consists of a central authority and twelve regional Federal Reserve Banks that serve different geographic districts across the country.
The Federal Reserve has broad authority to regulate credit conditions and control the money supply through tools such as interest rate policy, reserve requirements, and open market operations. Its actions directly influence mortgage interest rates, lending activity, and overall real estate market conditions by affecting the availability and cost of credit.
