The Federal Reserve's control of interest rates can significantly impact the housing market. When the Federal Reserve lowers interest rates, borrowing money becomes cheaper. This can lead to an increase in home purchases as mortgages become more affordable, stimulating the housing market. Conversely, when the Federal Reserve raises interest rates, borrowing money becomes more expensive. This can lead to a decrease in home purchases as mortgages become less affordable, slowing down the housing market.
Economics can be intimidating to the person who is not well-versed in business and mathematics. This...
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