In short: While buying power has already increased $30,000 from last year, mortgage rates below 6% could be an important psychological threshold. Round numbers matter, and that headline alone could prompt many sidelined buyers to take another peek at the housing market. Mortgage rates near psychological threshold Both bond yields and mortgage rates drifted lower this week. Notably, daily 30-year fixed mortgage rates briefly dipped below the 6% threshold before edging back up. What’s the impact on housing?  Affordability has quietly improved for the median-income household, with about $30,000 more buying power than this time last year, as mortgage rates fell from the high 6s to the low 6s. While a move below 6% is not a huge incremental improvement to affordability, it could shift sentiment in a meaningful way. For many shoppers who paused their search, that psychological threshold may be enough to bring them back into the market. New Jersey Best Realtor Richard Choi