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How lower interest rates will impact housing market
The Street
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12/9/2024
Celebrity real estate agent Ryan Serhant joins TheStreet to explain how the Fed lowering interest rates will impact the housing market.
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Sports
Transcript
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00:00
So if the Federal Reserve does continue to lower interest rates, how might that impact
00:08
your scenario for the real estate market in 2025?
00:12
Helps affordability. It helps that first-time home buyer be able to get into a home without
00:17
parent support. Lower rates change the game for everybody. We've never had a rate increase as fast
00:24
as what we've had, right, coming out of COVID. Inflation was painful for everyone, not just
00:29
in home prices, but across all asset prices, all good prices. It's a real, real issue. So
00:34
rates coming down affects everyone's ability to be able to buy more, and you create more
00:39
buyers that way. Right now, we have buyers who are sitting on the sidelines. They're not moving,
00:43
or they're continuing to rent, or they're staying at home because they can't afford the monthly
00:47
payment, right? It's not just the home price. You don't live in the home price, you live in
00:50
that monthly payment. And if we're able to bring that monthly payment down, again, you bring more
00:56
people out to the open houses and into showings, and it just creates a better housing market for
01:01
everybody.
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