As Economy Strengthens, Interest Rates Rise
In late March, the Federal Reserve increased
the Fed Funds Rate by 25 basis points**.
All of these factors contribute to higher interest rates, which impacts the affordability of homeownership. Fed officials expect three more rate hikes for 2018. Bottom line: Encourage your clients to buy now while rates are still affordable.

**The Fed Funds Rate is the rate at which banks can borrow money from each other overnight to maintain their reserve requirements. Basis points represent percentage change, with one basis point equaling one hundredth of a percent (0.01%).