The recent news of the Federal Reserve increasing interest rates by 0.25 percentage points marks the tenth consecutive hike. While this decision aims to reduce liquidity in financial markets and control high inflation, how could it impact the Boston real estate market? This blog post will explore the potential consequences of rising interest rates on the Boston real estate market.

Earlier this month, the Federal Housing Finance Agency said that the maximum conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac will increase by 12% nationally in 2023. This is excellent news for homebuyers in Greater Boston, as the loan limit for one-unit properties in Essex, Middlesex, Norfolk, Plymouth, and Suffolk counties will increase by more than $100,000 to a limit of $828,000.