New Reading Resource: What Determines Mortgage Rates?

The biggest purchase many Americans will ever make is buying a house. Most homeowners rely on loans to provide the funds to pay for a place of their own and those loans charge interest. But how are those interest rates determined? Instead of following the federal funds rate, mortgage rates are influenced by other forces in the economy including mortgage-backed securities and the 10-year Treasury yields.

This issue of Page One Economics® helps students navigate the relationship between monetary policy and mortgage rates and what that means for the average American looking for a place to call their own.  Designed for high school and college classrooms, this assignment from Federal Reserve Education will keep your students' "interest" in the housing market.

By creating a free account on fre.org, you can easily assign this resource to your students using Canvas, Google Classroom, Schoology, Blackboard, or D2L Brightspace. The assignment contains a self-grading, multiple-choice assessment for the convenience of both teachers and students. Our tutorial page will help you get started.  
 
Check out the full resource page below!