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Borrow Smart Blog

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18,000,000 Buyers now 'on hold'

When rates go up, it drives affordability down. According to a recent John Burns article, 18M people that were looking to buy have been priced out of the market after the last few weeks' rate increase. They will sit there and demand will rise and you'll see a flood of buyers wanting to transact when rates move down - right now they have to mentally adapt to the higher rates, once the higher rates become normal - a relative move from 6% to 5% will feel like a big win... right now we have people that are normalized that rates are 2-3%.

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