Barbara Corcoran, a prominent investor on Shark Tank, recently shared her insights on the current challenges facing real estate’s business in the U.S. According to Corcoran, the biggest issue in the housing market right now is the uncertainty that is affecting both buyers and sellers.

“Uncertainty is the biggest problem in real estate’s business today,” Corcoran told America’s Newsroom on Thursday. “When people are uncertain, they hesitate. That hesitation is bad for business.”

She further explained how this uncertainty is impacting the supply of homes. With a shortage of about seven million homes in America, suppliers are now holding back essential materials like lumber due to fears of tariffs. Corcoran stressed that this lack of confidence is creating a pause in the market, preventing movement and progress.

A range of factors is contributing to a tough environment for potential homebuyers. From limited housing supply to high prices and stagnant wages, the real estate market remains difficult to navigate. However, there is some hope. New data shows that home prices have risen by 4.2% compared to last year, which is the slowest increase since December 2021.

Despite this slower price growth, Corcoran believes it won’t offer much relief to most Americans. “People are hopeful that the slowdown in price increases will help, but it’s only a small change—less than a quarter percent,” she said.

Interest rates are another major hurdle. Corcoran points out that more than two-thirds of Americans currently have interest rates around 4%. “Why would they sell their home or move with such a low rate?” she asked. “That 4% rate is really holding people back from making a move.”

While some may see a glimmer of hope in the recent price adjustments, the ongoing uncertainty and high interest rates are likely to keep many potential buyers and sellers on the sidelines for the foreseeable future.