For those of us who still have good credit and savings, buying a house is about to get a lot cheaper.

Treasury sets a 4.5% mortgage rate target

The lowest rates have been in the last 45 years is 5.37%

Just how big of a difference could a 4.5% interest rate make?

According to the mortgage calculator putting 10% down on a 150k home at 6.5% - where rates have been would cost $853 a month. 

At 4.5% that drops to $684 - a monthly savings of $169.  Will it solve the foreclosure crisis, no.  You'll have to have good credit to get those rates, but it will help clear some of the supply that is depressing house prices.  And if you're in the market for a home anytime soon, it makes for a great time to buy.