Investor Kevin O'Leary suggested that elevated mortgage rates, which continue to hover at their highest in almost two decades, are likely to remain in place going forward, preventing housing costs from lowering any time soon.Borrowing costs in the U.S. shot up after the Federal Reserve began hiking interest rates in March 2022 in an attempt to slow down inflation, which had soared at one point to 40-year highs.
2 percent, according to Mortgage News Daily, nearly double where they were just four years ago pushing housing costs by 30-40 percent, according to O'Leary.'It's really hard to see that change. I am not sure that's gonna change at all,' he said.Home prices have also been partly affected partly by demographic shifts that took place during the COVID-19 pandemic.