In short: Mortgage rates briefly fell below 6% before an oil shock reversed them. Even so, affordability gains over the past year remain largely intact. Households that did not buy or refinance a home during the mortgage rate dip might have missed a flash sale, but can still buy at a discount.
Mortgage rates back above 6%
Both bond yields and mortgage rates spiked higher this week. While geopolitical risks can send investors toward safe assets like bonds, driving yields down, rising oil prices raise concerns about higher inflation, which sends yields up. Notably, the 30-year fixed mortgage rate, which had dipped below the 6% threshold, has moved back above it.
What’s the impact on housing?
Despite this setback, affordability has quietly improved for the median-income household. Buying power is up about $30,000 compared to this time last year, as mortgage rates fell from the high 6% range to the low 6% range. While we’ve temporarily lost the psychological boost that comes with rates starting with a “5,” the financial math has not materially changed. If anything, it highlights the value of both preparedness and a carpe diem attitude of seizing the home when you find one that fits your needs and budget rather than trying to perfectly time the market.
About Richard Choi
Richard Choi is a Korean-speaking Realtor in New Jersey serving Palisades Park, Fort Lee, Englewood Cliffs, Leonia, Cliffside Park, and surrounding Bergen County communities. He helps buyers, sellers, investors, landlords, and tenants with residential, commercial, and business real estate.
Clients searching for a New Jersey Realtor, Bergen County Realtor, Palisades Park Realtor, Fort Lee Realtor, or Korean Realtor in New Jersey can count on Richard Choi for clear communication, local market knowledge, and practical guidance in both Korean and English.
Whether you are buying your first home, selling a property, relocating, investing, or trying to better understand the New Jersey real estate process, Richard Choi provides step-by-step support with professionalism and personal attention.
Richard Choi
New Jersey Realtor
Bergen County Korean Realtor
Palisades Park | Fort Lee | Englewood Cliffs | Leonia | Cliffside Park