High Mortgages Rate Likely to Have Long-Term Impact on Housing Market

Near term, property values face decline in 2024

A man walks along a street in a neighborhood of single-family homes in Los Angeles, Cal., on July 30, 2021. Frederic J. Brown/AFP via Getty Images

The U.S. housing market is currently facing a long-term impact from higher mortgage rates over the past year, which put an end to the pandemic-era real estate boom.

A July 20 report by Moody’s Analytics said that property values in the United States will possibly face a 2.4 percent decline in 2024, as mortgage rates continue to weaken the housing market.