Instant Reaction: Mortgage Rates, April 18, 2024

Mortgage interest rates increased to 7.1% this week, moving above the mid-6% range for the first time since December 2023. While the higher mortgage rates are determined to be a killjoy for the spring housing market, mortgage applications did increase. It seems those applying for mortgages may be trying to sneak in applications as rates moved higher in recent weeks.

For consumers trying to time the market for the perfect rate versus home prices, it is all an equation of not only housing needs but affordability. For buyers juggling the equation, home prices have increased to the highest price ever for the month of March, and 29% sold above the asking price for the home. As the intensity of the spring market reaches a peak in June, it may be better to act before the bidding wars over limited homes on the market gain further traction.