Homeowners’ Reluctance to Move and Refinance Contributes to Low Inventory and Sluggish Housing Market

Meanwhile, homeowners who had previously protected themselves with lower mortgage rates are now unwilling to move or refinance at more expensive borrowing costs. This keeps inventory low in a market already suffering from a long-term housing shortage. The cost of financing a purchase and the rigidity that has gripped the market have also pushed sentiment among homebuilders to its lowest level in 10 months.