TABLE 18-1
How High Interest Rates Reduce Mortgage Eligibility and Housing Demand for a 25-year $100,000 Mortgage
Interest Rate
Monthly Payment
Annual Income Required
5%
$582
$23,280
6
640
25,600
7
700
28,000
8
763
30,520
9
828
33,120
10
894
35,760
11
963
38,520
12
1,032
41,280