Mortgage demand jumps nearly 30% in one week; experts cite supply and interest rates

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Thursday, January 19, 2023
Despite higher interest rates, mortgage demand up nearly 30% in week
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The average mortgage rate for a 30-year fixed-rate mortgage is 6.33%; nearly 3% higher than this time last year. But one expert said buyers are resigned to rates being what they ar

RALEIGH, N.C. (WTVD) -- According to a new report, mortgage demand in the US in the past week jumped by 28%.

"If you need to buy a home, you've got to just roll with what you've got," said David Wilson, owner of Carolina's Choice Real Estate.

"I've seen a major jump up in the buyers that are out," said Wilson. "A lot of buyers are waiting until they've got a resurgence of listings that are coming back out because there's not much in the holidays. And I do think, again, it comes back to buyers are just understanding that the rates are what they are."

Seasonally speaking, December typically sees a decrease in new listings because sellers tend to hold off on listing their homes during the holidays.

When real estate professionals factor in mortgage rates, the home market responds accordingly.

RELATED: Experts predict major slowdown for housing market in 2023

According to Freddie Mac, as of Jan. 12, the average mortgage rate for a 30-year fixed-rate mortgage is 6.33%; nearly 3% higher than this time last year and 0.15% lower than last week.

Wilson said he believes buyers are getting settled with the fact that mortgage rates will be what they are and a dramatic decrease in rates, which the market experienced a year ago, isn't set to come back anytime soon.

Also, Wilson said homes aren't selling for as much over listing prices as they were in recent memory and homes aren't getting dozens of showings on any given weekend.

According to the Triangle MLS, which covers 16 counties, there were 1,966 new listings in December. That figure is down by 30% compared to December 2021 when that number was 2,975.

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