The number of Thurston County homes sold falls 33 percent as interest rates rise
From The Olympian:
The number of Thurston County homes sold in September dropped again by a double-digit percentage, extending a trend that appeared in June, according to new Northwest Multiple Listing Service data.
Sales, which fell 33 percent in September compared to the same month in 2021, have been slowed by higher inflation and mortgage interest rates which now hover around 7 percent for a 30-year fixed-rate mortgage, according to Freddie Mac, the government-sponsored enterprise that provides capital to mortgage lenders and tracks rates.
“Mortgage rates decreased slightly this week due to ongoing economic uncertainty,” said Sam Khater, Freddie Mac’s Chief Economist, in a statement. “However, rates remain quite high compared to just one year ago, meaning housing continues to be more expensive for potential home buyers.”
It’s bad enough mortgage rates are over 7% – now it’s harder to qualify for a home loan
- Mortgage rates are soaring, and credit availability is the lowest it’s been in over nine years.
- The rate on the popular 30-year fixed-rate mortgage is over 7%.
- Lenders are concerned a weaker economy can lead to a rise in mortgage delinquencies.