Impact of Rising Interest Rates on Homebuying

Real Estate Broker/Owner with Eagle Ridge Realty DRE# 01309169

This is an infographic produced by the California Association of Realtors to share.  With rising interest rates, rising home prices may take a slight pause and level out.  Over the past 35 years in this business, I've seen this happen many times.  I started my career as a lender for a very large bank here in California.  Not once did anyone ask me "What can I afford" but rather asked me "How much money can I borrow?"   Rising interest rates, without an increase in wages, will most like make the current market start to cool.  That said, I don't see interest rates rising too quickly.


Interest rates

Comments (3)

The Villages Realty
The Villages Realty - San Jose, CA
"Our Performance Will Move You!"

Riaing interest rates do, indeed, affect affordability and what a borrower can afford.  

Nov 03, 2021 09:42 AM
Rocky Dickerson
Realty One Group - Las Vegas, NV
Superior Service!

Very true at that. And I remember the days where we were grateful that rates had dropped to 15%

Nov 03, 2021 09:59 PM
Gary Frimann, CRS, GRI, SRES
Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA
REALTOR and Broker

You always post such useful information.  Always a pleasure to visit your blog!

May 02, 2022 12:28 PM