Redfin CEO Glenn Kelman joined “Cavuto: Coast to Coast” Tuesday to discuss the role interest rates hikes have on the overall economy. Kelman argued stable rates will help not just the housing market, but the overall economic crisis.
GLENN KELMAN: Well, the typical real estate agent pitch is to date the rate and marry the house. So you can refinance a couple of years later. But if prices have come down ten or 15% in some of these pandemic markets, it finally gives people an opportunity to get in. There has been a lack of liquidity in the mortgage-backed securities market because there’s so much speculation about what the Fed is going to do. Dovish comments in July sent rates plummeting. I have never seen rates go up so fast. I’ve never seen them go down so fast. If we can get into a period of stability where we really know whether inflation is going to be a force in the second half of the year, it will help the housing market. It will help the rest of the economy. But we’re not there yet.
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