How do low interest rates affect sales?

A: Interest rates are based on the economic climate of the entire country.

The Bay Area has significantly outpaced the national economy year-by-year since the 2008 Great Recession and continues be the strongest job center for the U.S.

All real estate is hyper-local and driven primarily by local economic employment conditions, not the federal interest rates per se.

Many buyers in our market tend to purchase based on their net worth, which is more affected by mergers and acquisitions, IPOs and stock market activity, rather than national interest rates.

Despite recent geo-political turmoil overseas, many of the buyers in the Bay Area continue to close with cash, meaning interest rates levels have no bearing on their purchasing power.

With a robust Bay Area job market and interest rates remaining low, buyers will likely continue to take advantage of this unique local phenomenon and purchase homes with the same level of activity as in recent years.

Therefore, we recommend that Bay Area residents considering the sale of their home in the next few years seize this unique opportunity and capitalize on the local market conditions, as they may change with the increase of federal interest rates. Adam Touni, Pacific Union International, (650) 336-8530, atouni@pacunion.com; Wendy Kandasamy, Pacific Union International, (650) 380-0220,

wendyk@pacunion.com A: The Fed deciding not to raise rates gives home buyers additional time to lock in historically low mortgage rates.

Rates have remained low for such a long time that home buyers who have been on the sidelines may want to get in to the housing market before the end of the year or first quarter of 2016.

Many potential buyers who are currently renting are realizing that with the low interest rates that this gives them the opportunity to own and to reap the tax benefits that come with it.

When rates go up, this will affect the buying power for many buyers as it will increase the debtto-income ratio, increase monthly mortgage payments and lessen the ability to get approved and their buying power.

For some buyers in the Bay Area, this is not a rate-driven market, as many home buyers are purchasing homes with all cash. Interest rates remaining historically low gives many potential buyers the opportunity to become a homeowner in the Bay Area that they may not have otherwise.

Kathleen Daly, Coldwell Banker, (415) 925-3205, kdaly@cbnorcal.com; Lisa Lange, Coldwell Banker,

(415) 464-3318, lisalange@coldwellbanker.com A: It is a relief for buyers to hear that interest rates are holding for the time being. However, when buyers think rates could be on the verge of escalating, it does motivate them to purchase. Sellers are certainly relieved, comforted by the concept that money is relatively easy to come by and should continue to keep buyers motivated.

Conversely, when I first began my career in real estate, interest rates were 18 percent — a good reminder that it is important for those considering buying to take advantage of these current rates. Hazel Carter, Alain Pinel Realtors Tiburon, (415) 730-9445, hazelcarterh@gmail.com