"Record High Mortgage Rates Push Housing Market to Slump in 2024"

The cost of buying a new house has reached a record high as mortgage rates surged, pushing the median monthly housing payment to $2,775, an 11% increase from last year. The combination of steep mortgage rates and elevated home prices has made market conditions challenging for homebuyers, with few homes listed and ownership costs climbing. Factors contributing to the affordability crisis include years of underbuilding, a shortage of homes, and expensive construction materials. Economists predict that mortgage rates will remain elevated until the first half of 2024 and are unlikely to return to pandemic-era lows, while available home supply remains down 34.3% from pre-pandemic levels.