Buying a House During a Recession May Be a Good

question 187

True/False

Buying a house during a recession may be a good idea if your job seems secure because the Federal Reserve often lowers interest rates during a recession.

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Definitions:

Yield To Maturity

The total return anticipated on a bond if it is held until its maturity date.

Market Price

The market's ongoing price for the transaction of assets or services.

Basis Point

A unit of measure used in finance to describe the percentage change in value or rate of a financial instrument, equal to 1/100th of 1%.

Coupon Rate

The percentage of face value paid as interest on a bond each year.