Lower Mortgage Rates Could Jumpstart The Housing Market

After a not so great winter, lower mortgage rates could be the spark the housing market needs, according to Zillow's latest market report

Mortgage rates have dipped to their lowest levels since December, offering buyers some much-needed relief as affordability remains a key challenge. With 1.04 million homes on the market in February — the highest inventory for this time of year since 2020 — buyers have more options than they’ve seen in years, according to Zillow's latest market report. 

At the same time, home value growth has slowed to just 2.1% year-over-year, marking the weakest price appreciation in 18 months. Properties are also spending more time on the market, with listings taking an average of 23 days to

go pending, a pace not seen since before the pandemic.