High Rates Are Pinching The World's Homeowners

There were only a few good things that came out of the pandemic. One of them was historically low interest rates that helped those looking to borrow. Homeowners across markets were able to lock in cheap mortgages at attractive prices. Those factors, combined with a new normal of working from home, drove a home-buying frenzy. Residential real estate prices in much of the world rose sharply, recording gains of up to 40% from their pre-pandemic levels in high- income countries last year.