(NewsNation) — Potential homebuyers could be faced with a $1,000 increase in mortgage payments while searching today’s market.

A report from Realtor.com says the new trend is a result of the “lock-in effect.” The trend involves homeowners being unwilling to give up the historically low mortgage rates they secured during the pandemic and take on significantly higher ones today.

“Locked-in markets don’t just slow home sales, they also reshape the entire housing ecosystem,” said Realtor.com’s Hannah Jones. “When large numbers of homeowners hold mortgages far below prevailing rates, fewer choose to list their homes, leading to chronically low inventory, reduced mobility, and weaker turnover.”

The report also found that once mortgage rates started rising three years ago, homebuying and refinancing collapsed. Most recently, up until Aug. 2025, only 22.1% of outstanding mortgages were originated. Furthermore, today’s typical mortgage holder pays roughly $1,300 in principal and interest a month.

“Homeowners across the country found themselves unable or unwilling to sell, because purchasing another home in the same area would require taking on a much more expensive mortgage,” noted Jones.

Analysis from the report named San Jose, Los Angeles and Portland, Maine, as bigger locations where mortgage holders face the steepest increase in mortgage payments. Pittsburgh, Baltimore and Buffalo required the smallest increase to current mortgage holders.