If interest rates are expected to ________, mortgage real investment trusts (REITs)___________.
A)decline; become less attractive
B)rise; become less attractive
C)rise; are not affected
D)decline; are not affected

Question

Quizplus · Accepted Answer

When interest rates rise, the cost of borrowing increases, which can lead to a decrease in property values and potentially lower income for mortgage REITs, making them less attractive to investors.

If Interest Rates Are Expected to ________, Mortgage Real Investment