Inventory, not interest rates, the concern for Southern Oregon home ownership

Medford, Ore — Citing economic growth and strong jobs numbers, the Federal Reserve announces national interest rates are going up.

“The federal open market committee decided to raise the target range for the federal funds rate by one quarter percentage point bringing it from .75% to 1%,” said Federal Reserve Chair Janet Yellen at a press briefing Wednesday.

This is just the third time interest rates have risen since the financial crisis in 2008. The second time since December.

For a $200,000, 30-year mortgage, this would mean a $29 per month increase, or $348 per year.

Locally, mortgage experts say homeowners won’t see much of a change in their loans but the bump is a sign of a stronger economy.

“It was just unprecedentedly low and it needed to make a correction upwards, and that’s what we’ve seen gently over the last few months,” said Mike Newmann with the Newmann Group at Evergreen Home Loans

Newmann says the real concern locally is a lack of inventory in the housing market, but more homeowners are putting their properties up for sale.

Matt Jordan is the Chief Meteorologist for KOBI-TV NBC5. Matt joined the NBC5 weather team in 2014 after a year as a reporter and anchor in Alexandria, Louisiana. His experience with the severe weather of the Deep South and a love of the Pacific Northwest led him to pursue a certification with Mississippi State University as a Broadcast Meteorologist. You can find Matt working in the evenings of NBC5 News at 5, 6 and 11 as well as online. Matt also has a degree in Journalism from the University of Oregon. In addition to being passionate about news and weather, Matt is a HUGE Oregon Ducks fan. When not rooting for the Ducks or tracking down the next storm over the Pacific, Matt can be found outdoors in the Oregon wilderness with his wife and their German Shepherd named Stanley.
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