HomeFinance NewsPersonal financeFed Rate Cut Fails to Spark Spring Housing Boom: Mortgage Maze Confounds...

Fed Rate Cut Fails to Spark Spring Housing Boom: Mortgage Maze Confounds Buyers


As home sellers, buyers wait on a Fed cut, here’s how mortgage rates have impacted the spring housing market


Mortgage rates have experienced significant volatility in recent weeks, with the average 30-year fixed rate rising to 7.17% and potentially hovering between 6.5 to 7.5% for the foreseeable future.

This fluctuation has impacted the housing market, as prospective buyers and sellers are closely monitoring these changes.

The volatility in rates is particularly concerning.

When rates fluctuate rapidly, buyers may find that they can no longer afford the same property they were considering a few days prior.

This has kept both buyers and sellers on edge.

Despite the uncertainty, some buyers are adjusting to higher rates and finding ways to make homeownership feasible.

However, the spring housing market may be delayed this year, with more sales expected towards the end of May and into June.

Additionally, sellers tend to list their homes in early June to maximize their profits.

Historically, homes listed in the first two weeks of June have sold for 2.3% more than those listed at other times of the year.

Therefore, it’s possible that we could see a later and potentially more competitive spring season this year.

  • Overall sentiment: neutral
  • Positive

    “The spring housing market this year is somewhat getting back to normal.”

    “Some areas are experiencing more sales with buyers getting used to the higher rates and looking for ways to make it work.”


    “The 30-year fixed rate mortgage rose to 7.17% for the week ended April 25, according to Freddie Mac data via the Federal Reserve.”

    “While some buyers have come to terms with 7% interest rates, the volatility of rates is “really the thing that’s going to impact the market the most,” said Nicole Bachaud, a senior economist at Zillow Group.”

latest articles

explore more