Per Business Insider

The CEO of Compass, Robert Reffkin, described 7% mortgage rates as the new normal. This came in an interview with CNBC, where the CEO said that home buyers would just have to accept the new rates.

Reffkin previously said that 6% was the new normal but has now changed his statement, saying that 7% is regarded as the new normal. This comes as mortgage purchase activity increased for three out of four weeks.

It was also noted that cash buyers made up for 40% of the market, way above the 25% average. This comes as home prices have continually increased over the course of many months.

Reffkin: "I think now we're in an environment where 7% mortgage rates are now the new normal, and people are accepting it,"

The statement came as average 30-year-fixed mortgage rates increased by 6.75%.

In November, it was reported that mortgage application rates dropped by almost 90%. This was according to the Mortgage Bankers Association's seasonally adjusted index.

In April, it was reported that Americans think that mortgage rates could increase past 8% in the next 12 months. This came as Americans weren't as optimistic about the future thinking interest rates could significantly increase.

Within the same survey, it was also found that more renters were optimistic about owning a property in the future.

See flow at unusualwhales.com/flow.

Other News:

Resources:

Business Insider