Four years of rising mortgage rates have reshaped the U.S. housing market, leading to higher borrowing costs, uneven supply, and persistently elevated prices that strain affordability. Despite a 142% increase in active inventory, prices rose 8.1%, driven by a lock-in effect where many homeowners hold low-rate mortgages and hesitate to sell. Regional supply growth varies, with the West and South seeing large increases, while the Northeast and Midwest lag. Longer listing times and increased delistings reflect seller caution, limiting price declines.
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