So much for the housing market. Rates have more than doubled in 10 months!
Mortgage broker here. These rates are insane and making a HUGE impact on people's ability to buy. Even well-qualified borrowers are getting priced out before eyes. $800/month higher than avg on 1/1 based on $450K loan amount.
— Morgan Faricy (@MorganFaricy) June 14, 2022
Here’s a longer-term view. The Fed hasn’t updated their chart since May but you can see that rates last exceeded 6% just before the global financial crisis. Keep in mind that back then home prices were lower and anyone could get a liar loan, but at 6% today huge swaths of buyers are priced out.
Experience Revolver without ads
— Elon Musk (@elonmusk) June 15, 2022
This looks more and more like a serious recession.