- Mortgage rates are currently in the high 6% range, and a drop back to the pandemic-era sub-3% levels is considered unrealistic by economists. However, a modest decline in rates to below 6% could motivate some homeowners to sell, potentially thawing the frozen housing market constrained by homeowners holding onto low-rate mortgages.
If you’re waiting for mortgage rates to fall to around 3% to buy a home, don’t hold your breath. The likelihood mortgage rates will drop anywhere near those pandemic-era levels is “unrealistic,” a Zillow economist recently said.
