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Want to move? Homeowners in these 6 U.S. cities could see their mortgage payments more than double

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Want to move? Homeowners in these 6 U.S. cities could see their mortgage payments more than double

The housing market is locked up—and looking at one key number, it’s easy to see why.

High mortgage rates are the main force freezing existing U.S. homeowners in place, with many would-be home sellers reluctant to part ways with much lower rates from a bygone era. But just how much more would they be paying in today’s real estate ecosystem?

It turns out, the answer is a lot. Today, the average homeowner would pay $1,100 more every month compared to existing mortgage holders for a median-priced home, according to a new report from Realtor.com. High rates combined with stubbornly high home prices to create a perfect storm in the market, dissolving the dream of homeownership for some while keeping existing homeowners stuck in place, even when they’d rather move.

“Home sales have been stuck for several years, and this research helps illuminate one of the major friction points for today’s homeowners who might like to move,” Realtor.com Chief Economist at Realtor.com Danielle Hale said in the report. “For the typical mortgage holder, buying a home at today’s median-price and current rates would mean finding about $1,100 more each month for principal and interest, before property taxes and insurance.”

S. 3% change. 32% mortgage rate, typical for the current market, compared to the 4% average rate attached to outstanding mortgages.



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