Housing Market Momentum Stalls as Critical Spring Season Approaches

Rising interest rates squeeze affordability, drive mortgage applications to lowest levels in decades

From New York to Austin, America’s biggest cities are littered with vacant plots of land. WSJ explains the unseen role property taxes play in the country’s housing shortage. Photo Illustration: Amber Bragdon

Rising mortgage rates are cooling the U.S. housing market, sapping recent buyer interest heading into the crucial spring selling season. 

Economists, home builders and real-estate agents saw evidence of a thaw in early 2023, when rates declined from over 7% in November to 6.09% in early February. That was enough to lure back some buyers who had adjusted to higher borrowing costs. 

What's News

Continue reading your article with
a WSJ subscription

Subscribe Now

Already a member? Sign In

Sponsored Offers
  • TurboTax:
    Final Early Bird Pricing! Last chance for up to $40 off TurboTax
  • Michael Kors:
    Michael Kors promo code First Order: sign up for KORSVIP + Get 10% off
  • JCPenney:
    JCPenney Coupon Code: 30% Off Sitewide
  • Wayfair:
    Wayfair Coupon - 20% Off Sitewide
  • The Motley Fool:
    Sign up to Stock Advisor for $79 for 1 year