Mortgage Applications Rise Along With Mortgage Rates

The video discusses the impact of rising interest rates on mortgage demand, noting a historical parallel with the 2013 taper tantrum. It highlights post-election housing trends, including a rise in mortgage applications despite higher rates. The Federal Reserve's plans for rate hikes and the differing views of hawks and doves are analyzed. Finally, the video examines the Fed's forecasts and the incorporation of fiscal projections, with expectations for a more unified outlook in the future.

What was the immediate effect of higher rates during the 2013 taper tantrum?

• Increased demand for mortgages

• No change in mortgage demand

• Reduced demand for mortgages

• Increased housing prices

How have mortgage applications behaved since the recent election despite rising interest rates?

• They have fluctuated unpredictably

• They have decreased significantly

• They have remained stable

• They have increased

What is the uncertainty regarding the impact of higher rates on housing?

• If mortgage rates will drop

• Whether building permits will decrease

• If consumer strength will offset rate impacts

• Whether housing starts will increase

What is the stance of the Hawks regarding interest rates?

• They want rates to remain unchanged

• They prefer lower rates

• They support higher rates

• They are undecided about rate changes

What did Yellen mention about fiscal projections in the Fed's forecasts?

• All participants included them

• Few participants included them

• They were completely ignored

• They were the main focus