The Effects of a 6 Percent Mortgage Rate on Housing

September 14, 2015

According to CNBC, an increase of interest rates to more “normal” levels “could spell trouble for home prices.”

This summer, much of the ground lost to the housing bust was made up by the average selling price of a single-family home.

But according to economics reporter John W. Schoen, “if interest rates go back up to more normal levels, the cost of buying a house will also rise. That could put pressure on home prices, which have bounced back more than 50 percent since bottoming out in early 2012.”

Read more