This December, the Fed could raise interest rate and certain economic signs suggest that this would be the proper move. HousingWire staffer explains why this would be the right move given the increase in jobs, new single-family home sales and income.
Ramirez points out that there are still problems such as low inventory combined with high demand increasing home prices. However, he maintains that the economy is" good enough" and experts even believe that the rate increase is likely:
“We see a 75% chance of an increase [in December], roughly in line with market expectations,” a note from analysts at Goldman Sachs stated. “The remaining uncertainty relates to economic data and financial conditions, rather than uncertainty about the Fed’s reaction function—conditional on decent data and stable markets, a December rate hike looks very likely.”