Barron’s: Mphasis Digital Risk- Remote Workers are on the Move. What it Means for the Housing MarketSeptember 13, 2021
More than half of prospective home buyers surveyed in July by mortgage technology company Mphasis Digital Risk said that current buying conditions make them feel sad or anxious. Perceptions of conditions for buying a home as measured by the University of Michigan also fell, dropping to the lowest level in nearly 40 years.
The Realtors association estimates that 4.8 million fewer prospective buyers can afford a home now than in 2019. And that’s with mortgage rates, a key ingredient in the affordability calculation, near historic lows. The average rate on a 30-year fixed rate mortgage is expected to rise to 3.7% by the end of 2022, according to the Realtors association. That would still be low by historical standards, but significantly higher than the all-time low of 2.65% in January.