Mortgage Interest Rate Trends Since 2019

What we're seeing

According to Freddie Mac's U.S. Economic, Housing and Mortgage Market Outlook - July 2024, high mortgage rates and house price appreciation has led to a slowdown in the housing market and is causing housing inventory to pick up.

Home prices have surged in the last four years. The amount of mortgage loan principal, a helpful proxy for trends in home prices, increased by 42% from December 2020 to December 2023. At the same time, interest rates have more than doubled, from 3.05% in December of 2021 to 6.9% in December of 2023.

Takeaway and Call to Action

Download the 2024 Alkami Telemetry Report, The High Interest Rate Environment and its Impact on Consumers and Financial Institutions to read more insights about how the housing market is impacted by high interest rates.