Insight
Housing sales typically slow down when mortgage rates exceed 6.64%. In previous years, this rate level would have led to rates over 7% and negative year-over-year sales growth.
Mortgage spreads keeping housing demand intact for now
Summary
Mortgage spreads are keeping rates under 7% in 2026, aiding housing demand despite slowing sales trends. Historically normal spreads (1.60-1.80%) contrast with 2023's villainous 3%+ spreads, preventing rates from hitting 8%. Hosts should monitor interest rate impacts on buyer activity.
Key takeaway