Viewpoint: Interest rates and the supply of residential homes on the market


The residential real estate market in desirable cities like Boston and its suburbs is as hot as ever. Double-digit asking prices, offers tens of thousands of dollars over asking, cash buyers, no contingencies — and all fed further by constrained supply. One reason for the frenzy is the nearly free money that low inflation and Federal Reserve Bank policies have provided for most of the last 20 years. Well, that’s changing.

So: Crash, correct, or cool?

Despite the Fed’s relatively aggressive…

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