Higher rates, along with the high cost of homes, have created a market for housing with “haves and have-nots,” says the deputy chief economist of NAR.

Homebuyers are being forced to adapt to what’s the new normal: Mortgage rates higher than 7 percent. Based on this week’s median of 7.19 percent for a 30-year fixed-rate mortgage, which was published on Thursday from Freddie Mac, the typical monthly mortgage payments on the median price of $413,500 will be $2,243, according to Jessica Lautz, deputy chief economist for the national association of REALTORS(r).

“The elevated rates impact where a buyer can purchase and how much home they can afford today,” Lautz adds. In fact, the average size of a loan for a purchase application this week was $416,800. This is the highest in six weeks, according to Mortgage Bankers Association reports.

The increased rates and house prices are causing the housing market with “haves and have-nots,” Lautz declares. “The typical first-time, single or minority buyer has no ready cash to purchase a home,” she says.

Meanwhile, homeowners in their homes can take advantage of the record-high equity they have in their homes to purchase a new home. They’re part of buyers who are fueling the cash-only market, in which rising mortgage rates have no effect. In August, cash transactions accounted for 27 percent of the housing market, according to NAR’s data.

Freddie Mac reports the following national averages and Mortgage rates during the week that ended September. 21:

• 30-year fixed-rate mortgages averaged 7.19 percent, up little from the previous week’s 7.18 percent average. One year ago, the 30-year rate averaged 6.29 percent.
• 15-year fixed-rate mortgages averaged 6.54 percent, up by 6.54% from the previous week’s 6.51% average. In the year prior to this, the 15-year average was 5.44 percent.

Homeowners should be cautious about personalizing storage unless the storage item is worth the cost. This may be applicable to the collection of fine wines inside a customized cellar. A better option is a wine cooler that is refrigerated that is able to be moved to a different residence.

Keep the Space in Mind

Storage shouldn’t be placed to block the doors, windows, furniture, and circulation; its function is to facilitate daily life, not to create obstacles.

Future needs must be considered in order to avoid overfilling all storage options. It was a case when homeowners were looking for space to build a home office. A few found it by turning an unfinished closet into a cubicle.

Storage on public sites is a bad idea as it is costly and frequently serves as an excuse to delay cleaning, according to Videnovic.

Every room needs storage. “People will notice if there’s none,” says Amanda Wiss, a stager organizer, expert in organization, and the co-founder of Urban Clarity.