Will rising interest rates affect your home’s value?

NEWS SPECIAL (3TV/CBS 5) - “Interest rates have gone up over 2% this year,” Hague said. “The average homebuyer, compared to six months ago, is paying about double the interest on a home…, which is making homes less affordable.”

The Federal Reserve has said there will be six more rate increases this year. Hague said you’ll have fewer potential buyers in the coming months because those increases will make your home less affordable. “If you have a reason for selling, it’s a great time to sell as compared to in three months.”

Powell reinforces expectations of a sharp rate hike next month If you are going to sell, it’s a good idea to have your next home locked in as much as possible so you’re not scrambling to find a place to rent. But not knowing where you’re going doesn’t have to be a deal-breaker. Hague said 72Sold has a program that allows you to stay in your home for up to six months after it has sold to give you time to iron that out.

While some are concerned that the housing market is going to crash as it did in 2008, Hague said it’s not likely. “The problem right now in housing is not too much demand; it’s not enough supply. There is so little supply that regardless of what the Federal Reserve does, regardless of how interest rates go, don’t be afraid the housing market is going to crash because it’s not.”