Homebuyers and builders are confident in the housing market again — here’s why

The past decade saw a relatively stable housing market with historically low mortgage rates. From 2010 to 2019, mortgages averaged between 3.5 and 5.

5%, but COVID-19 lockdowns pushed that average down to 2.7% at the end of 2020. The housing market remained hot until interest rates started creeping up in mid-2022, when the Fed began increasing interest rates to curb inflation.



This two-year streak of rate hikes helped bring inflation close to the Fed’s 2% target but dampened the housing market and consumer confidence. Javascript is required for you to be able to read premium content. Thanks for the feedback.

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