Fed Holds Rates: Why Homes Keep Getting Less Affordable

The Federal Reserve kept interest rates unchanged—but that doesn't mean borrowing is getting any easier.

In this episode of Everyday Economics, Greg Bishop sits down with PhD economist Orphe Divounguy to explain why mortgage rates remain elevated, what it means for first-time homebuyers, businesses looking to expand, and taxpayers navigating an increasingly expensive economy.

Topics include:

Why mortgage rates remain near 7%

The end of the era of cheap money

Housing affordability and first-time buyers

Why wealthy buyers are still purchasing homes

The impact of high borrowing costs on businesses

Inflation, jobs, and the Federal Reserve's difficult balancing act

What taxpayers should expect if interest rates stay elevated

If you're wondering how Federal Reserve policy affects your finances, this breakdown explains the real-world economic consequences.

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