High interest rates in 2024 impacting potential homebuyers

JACKSON, Tenn. — According to a new survey from Discover Home Loans, high interest rates are having a profound impact on American homeowners.

In fact, 84% of homeowners who were planning to buy a new home say interest rates have affected their decision.

The survey also revealed that 55% of homeowners would rather renovate than move, for reasons as varied as wanting to make cosmetic changes to better reflect their style, using home improvements as an investment to boost resale value, and upgrading home features in need of repair.

“Perhaps not surprisingly, but it has profound implications, about two thirds of people want rates to be at 5% percent or lower before they would seriously reconsider reentering the marketplace,” said Rob Cook, VP of Discover Home Loans.

No one is anticipating mortgage rates to go down dramatically from where they are today, so it may be some time before these people re-enter the housing markets.

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