Federal Reserve Chairman Ben Bernanke stated recently he will continue his strategy to revive the housing market, despite Fed real estate initiatives creating only marginal success during recent years, Bloomberg reports.
Recent efforts from the Fed involved the purchase of nearly $1.25 trillion in mortgage bonds since the beginning of 2009. However, despite the measures, home values have continued their decent - falling 4.1 percent since then, and 32 percent since peaking in 2006.
Meanwhile, Bernanke has unveiled a plan that would involve the additional purchase of roughly $200 billion in new loans during 2012.
However, even though the Fed is planning to expand their efforts, the agency has acknowledged that it has been able to do little to turn around the nation's housing market, which accounts for nearly 15 percent of the overall economy. In a recent report sent to Congress, Bernanke states that the Fed's efforts will continue to do very little without expanded government support.
Additionally, Pierpont Securities researcher Stephen Stanley told Bloomberg that the Fed is probably frustrated that the investments they have made attempting to repair the housing market have not been more successful.