Rate-Hike Threat Spurs Home Buyers and Sellers
ByTwo events coming in Scottsdale. Register for RealShare PHOENIX METRO and RealShare NATIONAL HEALTHCARE REAL ESTATE on December 2-3.
Blomquist: “There is still a lot of pent-up housing demand from the housing crisis in the form of arrested development in Millennial household formation and households that lost homes to foreclosure.”
IRVINE, CA—The imminent threat of rising interest rates is encouraging both sides of the housing market to participate, but the sector will need more than that on a long-term basis to drive demand, RealtyTrac’s VP Daren Blomquist tells GlobeSt.com. In a recent report from the firm, Blomquist noted, “Home price appreciation is slowing, a trend that will continue if interest rates rise in the coming months as expected. Meanwhile the threat of rising interest rates combined with lowered premiums for buyers using FHA loans is spurring more demand.” We spoke exclusively with Blomquist about the effects of imminent rising interest rates on home buyers and sellers.
GlobeSt.com: Which provides the housing market with greater demand: the imminent threat of rising interest rates or the sustained low-interest-rate environment we’ve been experiencing for some time now?
Blomquist: The imminent threat of rising interest rates is giving the biggest boost now…
