Are Increasing Interest Rates Helping the Housing Market?
Thursday, December 9th, 2010 | Comments Off on Are Increasing Interest Rates Helping the Housing Market?
The interest rates charged on fixed mortgages have risen for the fourth straight week. Some fear that the rise, which goes against QE2, could slow house refinancings and further put a damper the already depressed housing market.
Despite valiant efforts from the FED, low mortgage rates did little to boost the struggling housing market. However, the current increase in rates that we are seeing may convince some on-the-fence homebuyers to bite the bullet and make a move before rates increase further.
Recent applications for home purchases have risen for the third consecutive week and are at their highest point since May.
