The post Here’s How Much House You Can Get for Your Bitcoin appeared on BitcoinEthereumNews.com.

Before the shift in mortgage rates, the United States housing market had been a tough nut to crack. Interest rate lock in at low pandemic and pre-pandemic rates has kept homeowners from selling their homes or refinancing. Mortgage Rates Falling Ahead Of Fed Cut Meanwhile, the low supply of homes for sale as a result of the pandemic era interest rate fluctuations has kept home prices sky high. The 30-year fixed-rate mortgage in the U.S. fell to 6.47% by Aug. 8, according to data from the St. Louis Federal Reserve. In November, home loan rates rose to record highs not seen since nearly two decades ago. Mortgage rates hovered just under 8%. So, the sudden drop in home loan rates ahead of any central bank rate cuts comes as a relief for the housing market. Average U.S. home prices surged as interest rates rose after the pandemic. The average home price in the U.S. has been more than half a million dollars since 2022, according to Federal Reserve data. Austin, Texas, real estate agent Melanie Suber said, “I don’t have an endless supply of money, so I can’t afford to just throw money at the bank because the interest rates are high.” She may have been joking about the Federal Reserve because the central bank does have an endless supply of money. The entity can continue to add dollars to the money supply at whatever rate it decides to in order to maintain low unemployment and stable, predictably rising prices. But Bitcoin (BTC), a new kind of currency made by and for the Internet, does not have an endless supply of money. Its fixed supply of 21 million Bitcoin creates shelter for holders from central bank price inflation. That hard supply cap also results in a currency that gains purchasing…

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Filed under: News - @ August 17, 2024 5:27 am