Mortgage Rate Cuts Boost Housing Market, But Entry-Level Home Scarcity Persists

Expectations of Fed interest rate cuts have provided a boost to the housing market by softening mortgage rates
Mortgage rates have been hovering around 7% this year, but are projected to hit 6.6% in Q2
Housing starts and homebuilder confidence are rebounding, signaling a recovery in the housing market
Home buying activity is concentrated on the high end; entry level homes remain scarce
Homebuilders aren't too concerned about competition from the resale market unlocking, as they can offer incentives to first time buyers