Mortgage rates above 7% are keeping the housing market frozen — bad for buyers, sellers, and anyone hoping for a quick thaw.

• Home prices have not crashed; the national average is up slightly from a year ago, nothing like the 30% drop in 2008.
• Mortgage rates track government bond rates, and those are climbing because the government keeps borrowing more to cover a budget it can't balance.
• Both sides are stuck: sellers don't want to give up 3% loans, and buyers won't pay high prices at 7%.
• More homes are for sale, but the growth has slowed sharply and supply is still far below pre-pandemic levels.
• One in four homes still sells above asking, so good deals get taken fast by buyers who don't haggle.

Outlook: Sales stay frozen until government borrowing costs come down, which pulls mortgage rates with them.