The historically large gap between today's elevated mortgage rates and the low rates that prevailed a few years ago have discouraged many current homeowners from moving, since giving up their low-cost loans would boost their annual mortgage payments by thousands of dollars. ... In a new working paper [coauthored with Jack Liebersohn, UC Irvine economics assistant professor], Jesse Rothstein [UC Berkeley economist] estimates that "mortgage rate lock" prevented some 800,000 households from moving during the year ending last June and reduced mobility by 16%.

For the full story, please visit https://www.npr.org/2024/08/08/nx-s1-5068309/housing-home-prices-mortgage-rates-interest-rates.