Alaska Housing Market Braces for Impact from Federal Reserve Rate Hike

The recent decision by the Federal Reserve to hike interest rates could have a significant impact on Alaska's housing market, according to industry experts.

With interest rates expected to reach around 7%, Joe Logan, state president of Alaska Realtors, notes that this increase comes at a time when Alaska is already struggling to meet demand for housing. 'You know, we have a lack of housing, and the problem is that there's not any place for that growth for people to move to the state to be able to move into not enough homes,' Logan said.

Rosetta Alcantara, CEO of Alaska Realtors, agrees that this could soften the impact of higher interest rates. 'It’s kind of, I think our inventory has been low enough that it kind of absorbs some of those adjustments.'