How Interest Rate Hikes Could Affect Twin Cities Housing Market

Minneapolis MN

06 May, 2022

4:48 PM

Description

CBS Minnesota May 6, 2022 Higher interest rates are making some prospective buyers shift their focus in a hot housing market. The Federal Reserve raised rates by half a percent Wednesday bringing it to a 10-year high. For borrowers, that means they're paying nearly $400 more a month on a $300,000 mortgage than they were a year ago. Even with the bump, experts still said it's still a good time to borrow money. Historically speaking, the bump is still pretty low compared to the double digit interest rates in the 80s or even in 2010. CBS Local Digital Media personalizes the global reach of CBS-owned and operated television and radio stations with a local perspective.