Higher mortgage rates also dampened the start of the spring homebuying season in 2024. This year, after climbing to a just above 7% in mid-January, the average rate on a 30-year mortgage has remained mostly elevated, climbing last week to 6.83%, its highest level in eight weeks, according to mortgage buyer Freddie Mac.

Housing activity for new residential construction climbed in March, spurred by a greater supply of houses during a crucial spring period.