How Households Are Locked In by Rising Mortgage Rates
Lack of housing supply. It’s a nationwide problem where there is no real answer in the immediate-term – largely caused by rates jumping up so quickly that people can’t financially make a move because of the increase they’ll have in their housing costs – if they locked a low interest rate.
One solution offered here is to introduce policy to enable a mortgage holder to take their mortgage with them…not a crazy idea, once the property is deemed to be worth at least the amount of the borrower’s existing note. Also, maybe assumable mortgages (buyer can take over seller’s terms) will see a comeback?
