Mortgage demand shrinks as interest rates hit the highest level in nearly 23 years

Mortgage demand has been declining as interest rates have been rising to their highest levels in nearly two decades. As interest rates hit 23-year highs, borrowing costs for mortgages are becoming increasingly expensive for potentialhome buyers, causing them to pause their home buying plans. As a result, demand for mortgages has been diminishing as buyers wait for more attractive rates. In addition, as mortgages become more expensive, fewer people are able to qualify for a mortgage, which further limits demand. With fewer potential home buyers entering the market, home sales and prices have been declining as well. As a result, the housing market has been experiencing a slow down due to the rise in interest rates.