09/22/2026
Your 3% mortgage may be doing more than saving you money every month. ๐
Mortgage rates are hovering around 7% nationally right now, depending on the lender, borrower and rate tracker.
Meanwhile, many homeowners are still holding mortgages they obtained when rates were dramatically lower.
That creates what economists often call the โlock-in effect.โ
If moving means giving up a very low mortgage rate and taking on a much higher one, some homeowners simply decide not to sell.
Fewer sellers โ fewer homes available โ tighter inventory.
And limited inventory is one factor that can help support home prices even when higher mortgage rates make homes less affordable for buyers.
It's an interesting contradiction in today's market:
Higher rates can hurt affordabilityโฆ
while homeowners holding LOW rates can contribute to the shortage of homes for sale.
Something to think about if you're sitting on a 3% or 4% mortgage.
