BNP economist Yelena Shulyatyeva tells The Daily Ticker at Yahoo! that housing will probably remain a "bright spot" for the economy though today’s housing data points to "really weak residential investment" which "implies further downside risk to the economy."

Rising mortgage rates will contribute to the slowdown, says Shulyatyeva. The rate on a 30-year fixed mortgage is now near 4.5%, according to Bankrate (BANK). Rates at 5% or above could drive potential homeowners into the rental market, says Shulyatyeva.