Americans were praying it wouldn't happen, but we're in Joe Biden's America, so what did you expect.
The 30-year fixed mortgage rate has reached its highest figure in over twenty years.
The last time America saw a 30-year mortgage rate of at least 7.16 percent, it was 2001.
As a result, mortgage applications are dropping at around a rate of two percent per week.
Joel Kan, the Mortgage Bankers Association Vice President and Deputy Chief Economist said that "The ongoing trend of rising mortgage rates continues to depress mortgage application activity, which remained at its slowest pace since 1997."
Kan also said that "home purchases are decreasing, as the purchase index fell two percent on a seasonally adjusted bliss, its slowest pace since 2015 and over 40 percent behind last year’s pace. For the unadjusted purchase index, it dropped 3 percent from last week and plunged 42 percent lower than the same week a year ago."
The Federal Reserve has not showed any indication that it will decrease interest rates at their next meeting.
This could deter even more buyers.
While less people are buying houses, the average price of one is still going up.
According to Breitbart, the median home price in America is up almost 14% compared to this time last year.
Unfortunately, experts are not confident this is going to get better anytime soon. Joel Kan also stated that "home purchases are decreasing, as the purchase index fell two percent on a seasonally adjusted bliss, its slowest pace since 2015 and over 40 percent behind last year’s pace. For the unadjusted purchase index, it dropped 3 percent from last week and plunged 42 percent lower than the same week a year ago."
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