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MORTGAGE RATES MAY BE LEVELING OFF

SHARE MORTGAGE RATES MAY BE LEVELING OFF

Interest rates on 30-year home loans are leveling off and should fall to about 8.5 percent by the end of 1995, the nation's largest investor in residential mortgages predicts.

"I think we're pretty close to the peak in long-term rates," said David Berson, chief economist for Fannie Mae, a company chartered by Congress to buy home mortgages and convert them into securities.Berson said he expects the Federal Reserve Board to raise short-term interest rates another one-half to three-quarters of a percent over the next two months.