Weekly Housing Market Monitor: November 2-5, 2020

Market Report provided by NAR

Even as home prices have increased, the decline in mortgage rates has lowered the monthly mortgage payment on a typical single-family home to $1,048, which is below the estimated median rent in October of $1,161. Mortgage rates are expected to remain low for quite some time, as the Federal Open Market Committee reiterated on August 27 its long-run policy of anchoring monetary policy to achieving an average long-run inflation of 2% and promoting maximum employment. In September, inflation slightly rose to 1.4%. The unemployment rate has further fallen to 7.9% in September but it remains elevated compared to pre-pandemic levels (3.5% in February 2020).