Powell Warns of Future Mortgage Access Issues Due to Insurance Crisis

Reported about 18 hours ago

Federal Reserve Chairman Jerome Powell cautioned Congress that an escalating crisis in the insurance industry could lead to inaccessible mortgages in certain regions of the U.S. over the next decade. As climate change exacerbates natural disasters, insurers are withdrawing from high-risk areas, complicating mortgage approvals as banks often require homeowner insurance. Despite potential interest rate adjustments, Powell emphasized that long-term housing affordability challenges stem from insufficient supply, beyond the Fed's control.

Source: YAHOO

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