Surging Mortgage Rates Drive Home Sales to 30-Year Low in 2023, But Recent Dips Offer Hope
• Existing home sales in 2023 reached their lowest level in over 30 years, driven by high mortgage rates and limited housing supply.
• The average 30-year fixed mortgage rate rose sharply, hitting highs not seen since the early 2000s, reducing affordability.
• Home prices reached a new national median high of nearly $390,000 last year despite declining sales.
• By the end of 2023, rates started to fall slightly and builder confidence rose, signaling potential improvement.
• This week, average 30-year fixed mortgage rates dipped to 6.6%, the lowest level in 8 months, which could increase home resales.