Motley Fool
According to the Fed, Home Buyers Are Being Irrational
The Fed isn’t saying the sky is about to fall, but points out a couple of troubling trends. Troubling Trend No. 1: In an attempt to slow inflation, the Federal Reserve has slowly raised the prime rate (by raising its federal funds rate). While the prime rate does not directly impact how much interest you pay when you take out a mortgage, it does play a role in how high (or low) lenders set their rates.
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