The Federal Reserve announced Wednesday that it is raising interest rates for the first time since 2006, causing speculation about what that will do to the real estate market, lenders, REALTORS®, lenders, homeowners and others working in affiliated industries.
Housing Wire reported that the Federal Open Market Committee will raise the federal funds rate between 0.25 and 0.50 percent in an article titled, “It’s official: Fed raises interest rates for first time in nine years.”
At the October meeting, the Federal Reserve did not raise the federal funds rate, but Fed Chair Janet Yellen has since indicated the hike was a possibility, Housing Wire reported.
In an NAR story by REALTOR Mag, “Refinance rush ahead of Fed’s decision,” a small increase in the number of refinance applications for the week of Dec. 11 was reported. Only time will tell if mortgage rates will go up.