Increasing mortgage rates has affected the inventory of homes available in Glen Rock

by Gianna Vaccari, Staff Writer

With American inflation higher than it’s been in decades, increasing mortgage rates are being used as a way to help curb this quandary. Increased mortgage rates are a result of inflation, which we hope will bring the economy back within our control due to the high levels of demand.

But average rates, just under 7%, have ensued in a significant decline in the housing market.  Just a year ago, the 30-year rate averaged 3.11%.  But with the current numbers surging, the inventory, as seen in Glen Rock, is substantially scant.  

The amount homeowners are currently paying for their mortgage, is markedly lower than it would be if purchasing a new house. Not only has the cost of a mortgage gone up, so have interest rates and home prices, making it difficult for both first time buyers, and families to jump into the foreboding market.

All people can indubitably afford more when rates are lower.  And most people don’t want to buy a house and pay for a mortgage that would’ve been a lot cheaper just two years ago.  As observed on Zillow, homes have been sitting for months, and owners are even cutting prices hoping to promote interest. With rising inflation, the price of everything has gone up—from gas, to groceries, to electricity, to houses—the combination of all of this has created a detriment in our economy.