Americans Walking Away From This
Americans aren’t happy.
30-year fixed mortgage rates have doubled compared to just last year and now Americans are realizing the housing market has become less affordable. Now real estate brokers and people looking to own homes are more frustrated than ever.
According to Fox Business, The Corcoran Group president Pamela Liebman explained, “These are scary numbers a little bit. You would never have expected this before because typically you wouldn’t have the ability to back out of a contract. Nobody would give you a mortgage contingency when the market was on fire and just going up, up, up.”
“But now that sellers are a little more desperate to get these deals done, they are offering these contract contingencies,” she explained.
As mortgage rates continue to climb it is starting to cool the market demand. But now potential homebuyers are backing out of their mortgage contracts because they are feeling scared about the extremely high prices.
“You may have applied for a mortgage two weeks ago, and now the cost is significantly more, and it just makes it unaffordable and people will walk away,” Liebman explained.
