Business | Salaries and home prices to rise slowly
by Dan Perkins
Posted 7/31/04, 12:00 am
The government is predicting that U.S. housing prices may follow the same path as salary increases (see "Slower hikes" below), growing at their slowest pace since 1970 over the next few years.
Researchers at the Federal Reserve say that if interest rates rise, existing home prices may increase a cumulative of just 2.6 percent over the next three years. That would mark the lowest rate since the government began keeping records in 1970.