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Moves over: American house prices

Economist Podcasts

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Rising Rates, Resilient Housing

This chapter delves into the recent Federal Reserve's interest rate hikes and their unexpected impact on the U.S. housing market, where house prices continue to climb despite higher mortgage rates. It highlights the challenges faced by prospective homeowners and examines the dynamics of new home construction versus existing homes. The discussion also addresses the strategic responses of builders and the ongoing tension between home affordability and inflation management.

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