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You are here: Home / U.S. Economy / Will rate hikes slow the housing market?

Will rate hikes slow the housing market?

June 19, 2022 By Geoffrey Disch Leave a Comment

On Wednesday the Federal Reserve announced the largest rate increase – 0.75% – since 1994 in an effort to curb inflation. Many expect still more rate hikes to come.

Under the current rates, a $300,000 mortgage would cost $1,800 monthly, up from just $1,265 in December 2021.

While home sales have been recently trending towards 2019, pre-pandemic levels, many analysts expect the buyer pool to shrink with sellers forced to properly price their homes to attract the sellers who are left.

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Filed Under: U.S. Economy Tagged With: rate hikes

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