Housing Market Heads Toward Recession as High Mortgage Rates and Prices Lower Affordability
-
Mortgage rates around 8% coupled with high home prices have hurt housing affordability.
-
Wells Fargo says housing now appears headed into a recession due to higher borrowing costs.
-
Mortgage rates may fall but will likely stay elevated compared to the pandemic.
-
Rising rates and prices have lowered affordability more than incomes have risen.
-
Tight supply is also weighing on the market as owners don't want to lose low rates.