Thirty-year mortgage rates have climbed to 7.28%, their highest level in nearly three years, and homebuyers are already pulling back. In a new interview published by Bitcoin Magazine, HousingWire Lead Analyst Logan Mohtashami breaks down the forces driving the move and examines the relationship between real estate and Bitcoin.

Mohtashami explains why the 10-year Treasury yield has continued climbing since talks with Iran broke down and why the Federal Reserve has turned hawkish. He also details how mortgage spreads are keeping 30-year rates from rising above 8%, with the discussion noting why rates are not above 8.6%. Because 30-year mortgage rates are typically priced off the 10-year Treasury yield plus a lender spread, the bond-market dynamics in this segment flow directly into the rates quoted to borrowers.

The conversation covers what it would take to produce meaningful home price cuts, how homebuilders are protecting profit margins through mortgage rate buydowns — arrangements in which a builder pays upfront to lower a buyer's effective interest rate — and why Mohtashami argues that today's housing market is not a repeat of 2008. With borrowing costs near multi-year highs, buydowns are the mechanism builders are using to keep monthly payments manageable without cutting list prices.

The interview then turns to digital assets. Mohtashami considers whether Bitcoin and real estate are competing for the same monetary premium — the portion of an asset's value that comes from its role as a store of value rather than from its practical use — explores the idea of borrowing against Bitcoin for a home down payment, and reviews Grant Cardone's model of combining Bitcoin and real estate. The discussion closes with his 2027 outlook for mortgage rates, home prices, and affordability, the furthest-forward view in the interview and the segment most directly relevant to readers tracking housing affordability.

The views and opinions expressed in the show are those of the participants and do not necessarily reflect the official policy or position of BTC Inc., Bitcoin Magazine, or any affiliated entities. The content is provided for informational and educational purposes only and should not construed as investment, legal, tax, or accounting advice. Nothing contained in the show constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any securities or financial instruments. Viewers should consult their own advisors before making financial or business decisions.

This article, written by Patrick Green, first appeared on Bitcoin Magazine.