TAMPA, Fla. — In March, the Federal Reserve could raise its interest rate in an effort to slow inflation and borrowing between banks and consumers.

Generally, the Federal Interest Rate is tied to how quickly or slowly the economy is growing and is a tool to artificially control the rate of economic expansion.

Currently, the Federal Interest Rate is set at 0% to .25%, and could jump by a quarter to half percent by the end of March.

Experts believe the Federal Reserve will raise interest rates at all seven of its meetings this year, which could bring the interest rate to one of its highest marks since 2018.

Unfortunately, real estate agents do not expect an interest rate hike to slow Tampa’s booming housing market.

“There is no slowdown in Tampa and there probably will not be for some time,” said Robert Tough with EXP Realty in Tampa. “Tampa is unique in that we are the No. 1 market according to Zillow where most people are coming from out of state to Tampa.  You've got people coming from New York and California and Texas, and they've got a lot more buying power than the people that are here, which in turn affects new home buyers here locally."

Generally, the Federal Interest Rate does not impact fixed-rate mortgages because those rates are locked in at the time of purchase, but those carrying floating interest rate loans could see increases to monthly mortgage payments.

Financial experts say for anyone in the market for a new home, specifically, now is the time to get serious and lock current rates in.

Buying a car will likely get more expensive too if the Fed increases interest rates.

Most dealerships are now selling cars over sticker or manufacturer's suggested retail prices because of the ongoing chip shortage and low supplies.

And for anyone with credit card debt, the Federal Interest Rate will make that debt more expensive too.