People who live in the Bay Area who were scrambling to find affordable homes in April were suddenly locked out of the market when interest rates started to climb.
But something had to give and it turned out to be housing prices.
Real estate website Zillow said back in April less than 5% of homes selling in San Jose took a price cut. By May, sellers cut the prices of more than 8% of the listed homes.
And it’s not just the Bay Area — housing affordability nationwide has sunk to its lowest point since 2007.