As it turns out, prime urban parking can be almost as valuable as a single-family home. A Boston woman bought two parking spaces for $560,000 at auction Thursday, winning a tough bidding war that increased by the tens of thousands at each turn.
The buyer, Lisa Blumenthal, said the spots will be used for guests and workers, at the hefty price of $280,000 each — nearly 90 percent of the worth of the median sales price of a single-family home in Massachusetts.
Home values have been rising in recent months, but mortgage rates have taken a rapid turn upward as well. Some investors are worried that the housing recovery may stall if mortgage rates jump too quickly.
Mortgage rates have seen a relatively sharp rise this month. The average 30-year fixed-rate loan hit 4 percent earlier in June — a big jump from the record lows of recent years. Some investors are now concerned that the housing recovery could be stifled if rates continue to rise quickly.
The Federal Reserve has two main missions: to maximize employment and minimize inflation. Right now, there are few, if any, signs that prices for goods are spiking, and the job market is still crawling out of its long, deep slump.
Miguelo Rada doesn't seem like the kind of guy who'd have extra cash. He just spent 32 years in prison, he lives in a halfway house in West Harlem, and his current income comes only from public assistance.
He uses food stamps for food, wears hand-me-down clothes and buys almost nothing. He is also an unofficial bank.
"If somebody asks me, 'Can I borrow $20?' If I have it I'll say, 'Here!' " he says.
This kind of borrowing is one way people do what economists call "consumption smoothing" – basically making spending more regular, even when income is not.
A customer in the produce section at Metro Foodland, one of the Detroit grocery stores participating in a healthy food incentive program for people with SNAP benefits. The store will add a section of specially marked local produce as part of the program.
In recent years, programs that double the value of food stamp dollars spent at farmers markets have generated a lot of attention. The basic idea: Spend, say, $10 in food stamps and get an extra $10 credit for purchases at the market.
NPR's business news starts with a man, a plan, a canal.
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MONTAGNE: Not Panama this time. This canal is in Nicaragua. Yesterday, the Nicaraguan congress granted a Chinese tycoon the exclusive right to develop a multi-billion dollar rival to the Panama Canal. The bill grants the investor 50 years of control over the potential shipping route - pending a study of its viability. Transcript provided by NPR, Copyright NPR.