- Recent housing market indicators show persistent weakness in home prices, including consecutive month-over-month declines. That’s as housing supply has increased while demand has stayed tepid amid still-high mortgage rates hovering around 7%. The slump in prices raises the risk of a prolonged downturn, according to Capital Economics.
The housing market has largely been frozen since mortgage rates shot up a few years ago, but recent indicators have pointed to the possibility of an extended slump in prices.
