Housing Will Survive Rising Interest Rates. Here’s Why

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August 20, 2015

Rising rates are an indication of stronger labor market conditions, something beneficial to the housing market, Chief Economist at First American Mark Fleming told HousingWire.

“An expected move by the Federal Reserve this fall to raise rates will have a moderating, but not devastating impact on market capacity for existing-home sales,” he says.

Predictions are based on First American’s Existing-Home Sales Capacity model, a gauge that looks at whether existing-homes sales are under or over capacity.

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