A $400,000 home with 20% down at 6.58% interest has a monthly mortgage of $2,039, dropping to $1,972 at 6.26% and $1,939 at 6.1%. Lower mortgage rates have increased refinance demand, but purchase activity remains slow due to rate lock-in. Markets with high mortgage utilization, like Washington, D.C. and Denver, may see more buyer activity, while areas with many outright owners, like Miami, may experience steadier conditions.