Homebuyers view rising rates as a barrier to homeownership
Homebuyers say rising rates are making it more difficult to buy a home in today's market, Redfin reported in its Real-Time Homebuyer Survey.
Furthermore, 63% of correspondents say rising mortgage interest rates are making it harder for them to afford a home.
Meanwhile, 58% of buyers cited low inventory as a major concern, falling from 66% of respondents last quarter.
"Our survey results underscore buyer sensitivity to this summer's mortgage rate fluctuations," said Redfin economist Ellen Haberle. "Should interest rates spike again in the coming months in response to a tapering by the Federal Reserve of asset purchases, we could see a significant drawback or even a temporary freeze in buyer activity."
The survey included data from 1,722 homebuyers in 22 U.S. markets.