Part 2/12:
At the core of California’s housing downturn are skyrocketing home prices coupled with persistently high mortgage rates. Despite historic lows earlier in the pandemic, rates climbed rapidly from July 2022, now hovering around 6.8% to 7%, dissuading many potential buyers from entering the market. Experts like the National Association of Realtors suggest that when mortgage rates hit around 6%, a critical threshold is crossed, causing a sharp decline in buyer activity.