10 housing markets that could benefit first as mortgage rates fall

Mortgage rates fell to their lowest level since April 2023 last month and are expected to fall further when the Fed cuts interest rates later this year. This drop in rates will likely cause an increase in home sales and refinancing applications as homeowners become “unlocked” from their current rates and are less hesitant to sell their homes or remortgage at a lower rate . However, some experts believe that many homeowners will hold off on refinancing or selling until mortgage rates hit a “magic number.”

What is that magic number? And when it does, which areas of the country will benefit the most? A recent study from Realtor.com identified the areas where lower mortgage rates will “unlock” the housing market the most.