How Will Rising Mortgage Rates Impact Housing?

How Will Rising Mortgage Rates Impact Housing?

Assessment

Interactive Video

Business, Life Skills

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses the role of housing in the US economy, highlighting the impact of interest rates on the housing market. It compares the current situation to the 2013 taper tantrum, noting that the increase in mortgage rates is smaller now. The video explores how these changes affect home sales, broker commissions, and GDP. It also examines the dynamics of housing prices and refinancing activity, concluding with an optimistic outlook for housing due to improving economic conditions and increased demand from millennials.

Read more

5 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the impact of the taper tantrum in 2013 on the housing market?

Decline in home sales and broker commissions

Increase in broker commissions

Increase in home sales

No change in the housing market

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How do higher mortgage rates typically affect housing prices?

They cause housing prices to fluctuate unpredictably

They increase housing prices

They have no effect on housing prices

They dampen housing prices due to reduced demand

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the current significance of refinancing activity in consumer spending?

It has no significance

It is less significant than it used to be

It is more significant than before

It is the most significant factor in consumer spending

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one of the main arguments for a positive outlook on housing?

Decrease in millennial demand

Collapse in housing activity

Lack of economic growth

Increased household formation and demand from millennials

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the expected impact of overall economic growth on the housing market?

It will negatively impact the housing market

It will cause a decline in housing prices

It will support the housing market despite higher mortgage rates

It will have no impact