The average U.S. long-term mortgage rate ticked up to 6.1% for the second week in a row in January, according to mortgage buyer Freddie Mac, cited by The Associated Press. Despite mortgage rates being the lowest in more than three years, borrowing costs combined with high home prices made homes harder to afford, keeping home sales low.
This dynamic raises a question for buyers and sellers: “Which comes first, the chicken or the egg?” GOBankingRates spoke with realtors and lenders for their insights on what matters most in 2026: home prices or mortgage rates. Find out what they said below.
