"Mortgage rates decreased this week, reaching their lowest level since May of 2023," says Freddie Mac chief economist Sam Khater. "This is an encouraging development for the housing market and in particular first-time homebuyers who are sensitive to changes in housing affordability."
"Should the uptick in new listings persist, inventory levels could continue to improve as hesitant buyers and sellers make their move ahead of the flurry of activity in the spring," notes Realtor.com® economic research analyst Hannah Jones in her analysis.
"The main engine that drives the housing market is mortgage rates, and when rates drop, the market becomes more affordable and encourages buyers to re-enter the market," says Jones.
[
add
]
[
|
|
...
]