MLM Counties News. Notices. Need-to-know Information.

The homeownership rate in the U.S. declined to the lowest in almost 19 years as rising property prices and mortgage rates held back demand.

Prices for single-family homes rose in 73 percent of U.S. cities in the fourth quarter, fewer than in the previous three months, as surging values in the past two years started to reduce affordability.

U.S. house prices rose 8.5 percent in the year through August, extending gains even as higher mortgage rates cut into demand for real estate.

The increase in mortgage rates, sparked by expectations that the Federal Reserve will scale back bond purchases, provides a test for a yearlong housing recovery that’s been fueled by home-loan costs near record lows.