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Saturday, October 23, 2021 9:00:46 PM
"U.S. home prices are rising rapidly because of low interest rates and as people seek out living space during the COVID-19 pandemic, but the trend doesn't yet pose big risks for financial stability, New York Federal Reserve Bank President John Williams said on Thursday.
Housing prices could come down later if preferences change, Williams said, but there is less credit risk in the housing markets and banks are better prepared to handle that kind of shift than they were before the Great Recession."
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