Fannie Maes Economist, And Real Estate Execs, Give Advice To Aspiring Homebuyers
When rates of interest decline, the value of a bond goes up because its coupon fee becomes extra fascinating, and when rates of interest improve, the worth of bonds decreases. Similarly, when the rate of interest decreases available in the market, REITs’ high yields turn into extra engaging and their worth goes up. When interest rates increase, the yield on a REIT turns into less enticing and it pushes their worth down. It’s essential to note that as interest rates rise, the cost to acquire a mortgage increases, thus lowering demand and costs of real estate. Demographics are the data…