Question

Prices of residential properties tend to weaken when:______.
i. unemployment increases.
ii. interest rates fall.
iii. interest rates rise.
iv. economic levels are high.

Answer 1

Prices of residential properties tend to weaken when interest rates fall. Option C is the answer

What are residential properties?

Residential properties included landed properties and structures that people can leave in. They can be purchase or leased from the owner.

When the interest rate of residential properties decreases the price will also reduce this is because a decrease interest rate shows that the economy isn't on the high side.

Therefore, Prices of residential properties tend to weaken when interest rates fall. Option C is the answer

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