1. The Housing Sector, Interest Rates and Unemployment Examined
... demand, with price as the equilibrating force, are well at work in the housing market. Measuring housing affordability by the ratio of mortgage payments to income, home sales naturally increase as the cost of buying a home becomes "cheaper", and conversely, sales fall when the cost of buying a home becomes too expensive. For instance, if a household with the median income wanted to purchase the median priced home in 1982 with a 20 ... residential property, ranging from 15% to a maximum of 89% as stated in the Bond, Seiler and Seiler (2002) study. All these studies have also confirmed th...
- Word Count: 1565
- Approx Pages: 6
- Has Bibliography
- Grade Level: Undergraduate