Article
Mortgage rates have been creeping back up over the past few weeks, now sitting in the mid-6% range, and while it’s not a dramatic spike, it’s enough to start influencing behavior in the housing market. As rates rise, affordability tightens, which naturally softens buyer demand, slows down price growth, and reduces urgency overall. We’re not seeing a downturn—but we are seeing a shift. Homes that are priced well and show well are still moving, while anything overpriced is starting to sit longer. It’s less of a frenzy and more of a selective market, where buyers are more cautious and strategic with their decisions.
Zooming out, this aligns with a broader economic perspective that people have talked about for years—the idea that higher interest rates expose how reliant the economy (and housing market) is on cheap money. When borrowing is easy, prices tend to rise. When borrowing becomes more expensive, demand gets tested. Right now, we’re seeing that play out in real time. If rates continue to climb, expect a more balanced market with increased negotiation opportunities. If they drop again, demand will likely surge and push prices higher. Either way, rates don’t just impact affordability—they shape how both buyers and sellers behave, which is ultimately what drives the market.