1 in 3 Homeowners Say Nothing Could Convince Them to Give Up Their Low Mortgage Rate

Anyone who's considered buying a home has likely watched anxiously as mortgage rates climb, dip, and shift — making it hard to discern the best time to lock in a rate. In an expensive market where every dollar counts, many home buyers fear they've missed out on the most affordable rate.

Since bottoming out below 3% in January 2021, the 30-year, fixed-rate mortgage has climbed as high as 7% — significantly raising borrowing costs for buyers. In February, mortgage rates dropped below 6% for the first time in years, providing a glimmer of hope to prospective buyers. But their optimism was short lived, with rates quickly climbing back above 6%.

Although that's still low by historical standards, the higher mortgage rate has made homeownership even more expensive for Americans already struggling with rising housing costs.

In fact, 1 in 10 homeowners (10%) say mortgage payments are their biggest financial stressor — even more so than the cost of living, health care expenses, and retirement savings, according to a new survey of 1,000 mortgage holders from Best Interest Financial and Clever Real Estate.

The pain is especially acute for homeowners paying 6% or more on their mortgage. Although 63% say they have cut back on spending, worked a side gig, or made other sacrifices to afford their mortgage, one-third (33%) still struggle to pay it — fueling even more anxiety about whether they acted too late.

With so many homeowners struggling to afford their mortgage, borrowers who locked in a low rate have a pretty good incentive to stay where they are, even if their home no longer fits their needs.

About 44% of mortgage holders think they will live in their home longer than they intended because of high rates, with 1 in 5 borrowers (20%) going so far as to say they feel trapped by their mortgage.

For many of these homeowners, moving isn't a simple solution. Buying a new home would mean accepting a higher mortgage rate, and 47% of borrowers paying less than 6% on their mortgage do not think they could afford one at the current rate.

As a result, more than 1 in 3 borrowers (35%) with a mortgage rate under 6% would not give up their rate for any reason — contributing to the housing shortage that has kept prices elevated and dampened affordability for new buyers.

Keep reading to learn how mortgage rates are affecting Americans' housing plans.

Borrowers capitalized on historically low mortgage rates in the wake of the pandemic. In fact, 76% of mortgage holders pay less than 6%, and a whopping 41% report paying below 4%.

Having secured a mortgage rate that could be well below today's average, it's no surprise many borrowers enjoy a sense of satisfaction. Of those with a rate below 6%, more than half (55%) have positive feelings about their mortgage, with 35% saying they feel lucky and 20% saying they feel relieved.

Borrowers who locked in mortgages at historically low rates don't plan on wasting their good fortune, either. Approximately 35% of those with a mortgage under 6% say they would not give up their rate for any reason, with the percentage jumping to 52% among those with a rate under 3%.

Even so, some circumstances could tempt homeowners with below-average rates to reenter the market. About 1 in 5 (20%) would consider giving up their mortgage rate for a major life change, such as having a child or moving for a job, while 1 in 8 (13%) would consider giving it up for the right home.

Other homeowners would consider selling if they could offset a higher mortgage rate with a lower home price, but that does not appear to be a significant motivation for giving up a good rate. Just 10% would consider relinquishing their mortgage rate if home prices decreased.

Although a majority of borrowers benefited from pandemic-era mortgage lows, not all home buyers were so lucky.

Mortgage rates rose rapidly in 2022 — jumping from about 3.5% to almost 7% over the course of the year. Home buyers who waited even a few months faced higher rates that added hundreds of dollars to their monthly payment — an expensive, and discouraging, reminder that buying sooner might have resulted in significant savings.

Just 22% of homeowners have negative feelings about their mortgage, but that percentage rises along with mortgage rates. Homeowners with a rate of 6% or more (41%) are twice as likely as those with a lower rate (16%) to feel negatively about their mortgage.

Those with a rate of 6% or more are also 2x more likely to say they are frustrated by their rate (17% vs. 8%) and that they feel stuck (16% vs. 7%).

Knowing the low rates others locked in makes it difficult for borrowers paying more not to long for different circumstances. More than a third (36%) of mortgage holders with a rate of 6% or more wish they had a different rate — double the 15% of those with a lower rate who say the same.

In an increasingly expensive economy, a mortgage at any rate can strain owners' finances, but those with higher rates feel the burden more acutely because of higher monthly costs.

About one-fourth of borrowers (26%) with a rate of 6% or more say their mortgage is unaffordable. That's nearly triple the 9% of mortgage holders with a rate under 6% who say the same.

When home buyers overextend themselves financially on their mortgage, it can affect their entire budget, leading to trouble paying other bills, limited savings, and more debt.

In fact, nearly half of homeowners (45%) with an above-average mortgage rate say their finances have worsened since buying a home, and two-thirds (68%) don't expect their finances to be very stable over the course of their mortgage.

More troublingly, three-fourths of homeowners (76%) with a mortgage rate of 6% or more don't feel very prepared for future payment increases if their taxes or insurance rise, and 60% say they could not comfortably make their mortgage payments if their income decreased at all.

It's no wonder borrowers with an above-average mortgage rate are more likely to experience financial stress, with 41% saying they feel anxious about their mortgage, compared to 15% of those with a rate under 6%.

To afford their mortgage, many borrowers with a rate of 6% or more have had to make painful adjustments to keep up with their monthly payments:

• About 63% say they've made sacrifices to afford their mortgage, compared to 34% of those with a rate under 6%.
• About half (50%) say their mortgage rate has impacted major life decisions, compared to 22% of those with a rate under 6%.
• More than 2 in 5 (44%) say they've reduced retirement savings to afford their mortgage, compared to 17% of those with a rate under 6%.
• More than 1 in 4 (28%) worry they'll have to change jobs to afford their mortgage, compared to 9% of those with a rate under 6%.

Although these sacrifices help prevent borrowers from defaulting on their home loan, they often fail to help mortgage holders meaningfully get ahead.

More than half of homeowners (58%) with a rate of 6% or more originally hoped to pay off their mortgage early but don't think that's feasible anymore. Just 44% of homeowners with a lower mortgage rate say the same.

Even if they can comfortably afford their mortgage, many borrowers can't help but wonder if different choices would have led to greater savings. Approximately 59% of borrowers say they weren't very informed about mortgage options when they bought their home, and 52% now have regrets about their mortgage.

Homeowners are most likely to regret not shopping around for more lenders (10%).

Settling for the first lender who provides a mortgage quote is often the fastest and least stressful option, but it doesn't always lead to the lowest rate or the best terms. Many borrowers who don't explore their options later feel frustrated or even exploited by their lender.

More than 1 in 10 borrowers (11%) say their lender did not explain the terms of their mortgage at all.

Young borrowers, who need the most guidance through a complicated process, are unfortunately the most likely to feel confused. About 24% of millennials say they don't understand the terms of their mortgage — nearly triple the 9% of boomers who say the same.

It's no wonder 63% of mortgage holders believe lenders take advantage of first-time buyers who don't fully understand the implications of a mortgage.

While wishing they had compared more lenders, mortgage holders also regret:

• Not buying when rates were lower (9%)
• Not refinancing when rates were lower (9%)
• Not negotiating fees or rates (9%)
• Not making a bigger down payment (9%)
• Choosing the wrong loan term (8%)

Although many homeowners don't fully understand their mortgages, those with high mortgage rates tend to be the least knowledgeable. About 69% of homeowners paying 6% or more on their mortgage say they were not very informed about their mortgage options when they bought their home, compared to 57% of those with a lower rate.

Without understanding the true implications of their mortgage, borrowers with above-average rates were more likely to make decisions that led to regret. Approximately 75% of those paying 6% or more on their mortgage express remorse, compared to 44% of those paying a lower rate.

This regret is often tied to the desperation and urgency buyers felt when purchasing their home, causing them to make decisions that ultimately cost them down the line. About half accepted a high mortgage rate because they didn't want to miss out on a specific home (51%) or they were worried rates would climb even higher (48%).

Borrowers may have felt like they had no choice but to accept a high rate, but the decision remains a source of regret. Homeowners with a rate of 6% or more are most likely to regret not buying when rates were lower (16%).

Although many of those mortgage holders plan to refinance, that opportunity to do so is not materializing as quickly as they had hoped. Homeowners with a high rate also regret that they wrongly assumed rates would come back down quickly (15%).

Lingering regrets about missing out on the best mortgage rates are shaping how homeowners approach their next move. In fact, nearly half of mortgage holders (49%) say rates have affected their housing decisions — with 24% saying rates are their biggest barrier to moving.

Rather than contend with today's challenging real estate market, 87% of mortgage holders intend to remain in their homes over the next two years, with 78% planning to keep their current mortgage rate or pay it off.

Of those borrowers, 56% want to stay because they are happy with their current home. Approximately 44% choose to stay because they are happy with their current mortgage rate — a percentage that jumps to almost half of homeowners (49%) with a mortgage rate below 6%.

What's more, 48% of homeowners with a mortgage rate under 6% say they are unwilling to sell their property right now because of their low rate — including 61% of homeowners with a rate under 3%.

For many borrowers, staying in their home so long wasn't the plan, but the market forced their hand. About 40% of homeowners with a below-average rate believe they will live in their current home longer than they intended because of today's high mortgage rates.

Homeowners wouldn't give up their rate even if it means staying in a home that:

• Is located next to bad neighbors (14%)
• No longer meets their needs (13%)
• Is in poor condition (11%)

Just 10% of mortgage holders say they are staying in their homes because they are waiting for mortgage rates to drop — an outcome mortgage forecasters generally do not anticipate happening soon enough to meaningfully affect housing affordability this year.

But one-third of homeowners (33%) with a mortgage rate under 6% say they would consider selling if rates did drop significantly.

More than half of mortgage holders (52%) with a below-average rate say they wouldn't sell unless mortgage rates dipped below 5% — more than a full percentage point less than the current rate of 6.5%. What's more, over 1 in 3 of those borrowers (41%) would only sell if rates dropped below 4%, and 1 in 5 (20%) would only sell if rates dropped below 3%.

However, two-thirds of borrowers (69%) don't think mortgage rates will ever return to the historic lows of the pandemic-era market.

Mortgage holders may plan to sell eventually, but home buyers shouldn't expect to see an influx of inventory anytime soon. Two-thirds of homeowners (67%) with a below-average rate don't want to sell their home for at least five years.

Meanwhile, one-third (35%) of those with rates under 6% say they don't ever want to sell their home.

Homeowners plan to stay in their homes, but that doesn't mean they have to keep their mortgages, too.

Approximately 63% of borrowers would refinance their home loan if rates dropped significantly, including 71% of those with an above-average mortgage rate. In fact, about one-fourth (22%) of mortgage holders with a rate of 6% or more plan to refinance in the next two years.

Refinancing can make housing more affordable by lowering monthly payments and helping homeowners save tens of thousands of dollars in long-term interest. But it is expensive, and borrowers need to ensure their savings outweigh the costs.

Nearly half of mortgage holders (45%) say rates would need to drop 2 percentage points or more below their current rate to make refinancing worth it.

Mortgage rates can and do change daily, but just 3% of homeowners who plan to refinance check them every day. About 15% track them weekly, while 50% track them monthly.

Although many mortgage holders are choosing to stay in their homes rather than give up their low rate, market conditions don't always dictate moving decisions. Approximately 1 in 10 homeowners with a mortgage (10%) plan to buy in the next two years.

Today's mortgage rates are higher than many buyers would prefer, but they are low enough to entice 10% of borrowers to move. The vast majority, however, are motivated by factors other than mortgage rates.

Instead, mortgage holders are driven to buy because:

• They want to move to a different city or state (34%)
• They want to downsize to a smaller home (32%)
• They want to move somewhere with lower property taxes (20%)
• They want to move somewhere with a lower cost of living (18%)
• They want to be closer to family (17%)

The ideal scenario is for buyers to purchase a home when mortgage rates and home prices are both low, but such conditions are rare.

Mortgage rates and home prices typically have an inverse relationship. When mortgage rates are low, home prices rise because buyers can afford to spend more. When mortgage rates are high, buyers have less to spend and home values slump.

Whether buyers prioritize a low home price or a low mortgage rate depends on their financial situation and the state of the real estate market. But 58% of respondents say they would prefer to buy and sell when mortgage rates are low versus 42% who say they'd prefer to buy and sell when home prices are low.

When applying for a mortgage, homeowners with a rate under 6% say procuring the lowest rate was the most influential factor in their decision (45%). That's because when rates are low, borrowers are often highly sensitive to rate fluctuations, with even small differences meaningfully affecting long-term borrowing costs.

Meanwhile, high-rate borrowers appear more focused on managing immediate costs rather than minimizing expenses over time. Homeowners with a mortgage rate of 6% or more say their monthly payment most influenced their mortgage decisions (36%).

No matter what they prioritized, nearly two-thirds of borrowers (63%) say the mortgage approval process was stressful.

The percentage rises to 73% among mortgage holders who have a rate of 6% or more, possibly reflecting nerves about qualifying and higher monthly payments. In comparison, just 59% of homeowners with a lower rate say the same.

Making decisions under duress is never easy, and the stakes are particularly high when it comes to a mortgage. What seems like a good decision at the time may lead to doubt later on.

More than a quarter of borrowers (28%) — including 43% of those with a rate of 6% or more — have questioned whether taking out their specific mortgage was the right decision.

Although many home buyers took advantage of historic mortgage lows during the early 2020s, young buyers were the most likely to miss out as they were paying student loans and establishing their careers.

Having bought or refinanced when mortgage rates were at an all-time low, 84% of boomers have a rate below 6%, and 47% have a rate below 4%. Meanwhile, just 64% of millennials have a rate below 6%, and 30% have a rate below 4%.

Although young mortgage holders are more likely to have higher rates, they frequently have tighter budgets — making them more vulnerable financially. Approximately 17% of millennials say their mortgage is unaffordable, nearly double the 10% of boomers who say the same.

With limited financial flexibility, mortgage rates increasingly dictate millennials' housing decisions. In fact, 62% of millennials say rates have affected their housing decisions, compared to just 41% of boomers.

In particular, high rates are limiting millennials' mobility. More than half (58%) believe they will live in their current home longer than intended because of high mortgage rates, while just 37% of boomers say the same.

Millennials are also:

• About 12x more likely than boomers to delay upsizing (12% vs. 1%)
• About 3x more likely than boomers to delay moving to a different city or state (13% vs. 5%)
• Twice as likely as boomers to renovate their homes instead of move (20% vs. 11%)
• Twice as likely as boomers to stay in a home that doesn't meet their needs (11% vs. 5%)

Millennials are staying in their homes for now out of necessity. Boomers, on the other hand, are more likely to stay by choice.

Many boomers have already found their forever homes, and as they prepare for a fixed income in retirement, they're often reluctant to take on a more expensive mortgage. Boomers (42%) are 2x more likely than millennials (19%) to say they never want to sell their home.

Best Interest Financial surveyed 1,000 American homeowners who hold a mortgage concerning their mortgage and homeownership plans. The survey was conducted Feb. 11 to 13, 2026.