Higher Mortgage Rates to Impact Housing Turnover in 2024, Adjustable-Rate Mortgage Demand Rises by 10%

Sustained higher mortgage rates are expected to have the most impact on housing turnover in 2024, as nearly all mortgage borrowers have interest rates below current market rates. About 90% have rates 2 percentage points below and over 60% have rates 4 percentage points below, disincentivizing them from moving. Adjustable-rate mortgage demand has jumped nearly 10% as buyers struggle to afford the expensive housing market.