The Correlation Explained
Interest rates and real estate prices share an inverse relationship. When rates go up, affordability goes down, often cooling the housing market.
The 2026 Market Outlook
With inflation stabilizing, central banks are cautious. A 1% increase in interest rates reduces the buying power of a consumer by approximately 10%.
Should you wait?
Trying to time the market is risky. If you are buying a home for end-use, the best time is when you can afford the EMI comfortably. Don't wait for a crash that might never happen.