You can see it in the streets: more homes are for sale now than in the past couple months. but inventory is still 16% below last year’s and there are still tons of buyers – in fact buyer activity may be spiking as people rush to try and purchase before interest rates go up further.
This continued supply/demand imbalance is keeping upward pressure on home prices, with prices increasing 3% over the previous month. From Metrolist:
Rising interest rates clearly have a significant impact on the marketplace as some buyers have found their buying power slightly reduced, however, the continued availability of historically low interest mortgage loans still makes for a very fast-paced marketplace.