According to Freddie Mac, the average rate on a 30-year fixed mortgage rose to 5.98% last week - the highest rate in six months, writes Tony Sagami, owner and founder of Harvest Advisors. No surprise -- applications for mortgages to purchase homes dropped 1.9%.
I guess if the Wall Street crowd isn’t worried about $60 oil, it shouldn’t be worried about the consequences of 11 interest rate hikes on mortgage rates either.
You and I know better. At some point, the scales will tip and buying power financed by cheap money will dry up.
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