The “lock-in” effect is alive and well

Sure mortgage interest rates have gone down but they are still significantly higher than about 75% of current homeowners pay.  It is hard to move up to a more costly mortgage which is why so many homeowners are staying put.

However, rates are going in the right direction which is down. When they get down to 5.5% and lower homeowners will be more interested in moving.

Freddie Mac interest rate graph
Freddie Mac – mortgage interest rates

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