National Association of Realtors: Rising interest rates "will be problematic"

(Fargo, ND) -- A new warning from the National Association of Realtors says rising mortgage rates "will be problematic" for the housing market.  

"A year ago you could maybe be locked in for a 30 year mortgage at 2.87 percent. As interest rates go up and purchase prices go up you may not be buying a home that actually meets your needs," said Maureen Bartelt. a broker with Berkshire Hathaway in Fargo, and a board member for the FM Area Association of Realtors.  

Bartelt describes the local market as "really challenging". She says even if mortgage rates rise as expected, upward pressure on home prices in the FM area will most likely continue. Inventory remains at near historic lows and new home construction remains limited in part because of continuing supply chain issues.