The housing affordability crisis has shown signs of easing in recent months. For the week ended February 20, the average 30-year fixed-rate mortgage was 6.09%, marking the lowest level since September 2022 and falling from 6.17% in the prior week, according to the Mortgage Bankers Association (MBA).
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Trade QQQ with leverageWith lower rates, homeowners have been eager to refinance. The MBA Mortgage Refinance Index rose to its second-highest level this year and has increased in all but two weeks since January.
Mortgage Demand Rises as Home Prices Continue to Cool
Overall demand for mortgages is on the rise as well, with mortgage applications up by 0.4% after jumping by 2.4% in the previous week.
Amid falling rates and higher demand for mortgages and refinancing, median home sales prices have been steadily falling since the beginning of 2025 and are currently at $405,300. President Trump has rolled out several measures aimed at boosting housing affordability in recent months, including an executive order restricting large institutional investors from buying single-family homes.