Big Drop in Home Sales, Surging Mortgage Rates, Tight Supply: The New Dynamics Shaping Up | Wolf Street

Sales of single-family houses dropped 5.9% for the month and by 8.1% year-over-year, to a seasonally adjusted annual rate of 5.44 million houses. Sales of condos plunged by 7.0% for the month and by 9.6% year-over-year to a seasonally adjusted annual rate of 660,000 condos.

There are now two dynamics at play: As mortgage rates rise, more buyers are priced out, and they step away. But other buyers are accelerating their efforts to buy, no matter what the price, to lock in the still low mortgage rates.

Big Drop in Home Sales, Surging Mortgage Rates, Tight Supply: The New Dynamics Shaping Up | Wolf Street