In late 2019, some economists predicted a slowdown in our economy and the housing market. The reason those economists gave for their prediction was monetary policy and rising interest rates. But, the
Fed
lowered rates at their October meeting. Fed Chair
Jerome H. Powell
said rates were unlikely to drop further, but indicated they would remain stable for the foreseeable future. Powell said he would like to see inflation hold above the 2% target for a sustained period before considering raising rates again.
Core PCE
, the Fed's preferred method of measuring inflation is currently 1.9%. Through 2028 Core PCE inflation is anticipated to remain steady at 2.0%.
What does it all mean? For the time being, interest rates will remain at historic lows. Deschutes County
job growth
continues, and demand for housing remains strong. If selling your home has been part of your plan, the future looks bright!
Do not be discouraged buyers! Consider this; there are more loan choices available now than ever before, interest rates remain low, and our market continues appreciating. I encourage you to speak with a lender to research your financing options. Waiting for prices to fall is looking like the more risky strategy in today's economy.