The pandemic upended America's housing market, delivering wins for homeowners and roadblocks for those still dreaming.

Why it matters: Sky-high home prices, elevated mortgage rates and a shortage of houses for sale are pushing homeownership out of reach for many.

Zoom in: This week marks the five-year anniversary of when former Gov. Jay Inslee announced orders closing schools across Washington, which were followed by additional stay-home orders.

Since then, here are five ways the housing market transformed and what could come next.

1. Home prices skyrocketed

Cheap borrowing costs and remote work unleashed a homebuying frenzy early in the pandemic — and sent prices soaring.

By the numbers: The median home price in Washington in January was $604,200, according to Redfin.

• That's up about 43% from January 2020, when the median home price statewide was $422,900, per the Seattle-based real estate company.

The big picture: A stubborn housing shortfall is keeping prices high, even as buyers have retreated, with 2024 sales hitting a nearly 30-year low.

2. Rates surged, buyers stalled

Mortgage rates surged after falling to the lowest levels on record in 2021.

• Higher monthly payments are sidelining many home shoppers, especially first-timers.

What we're hearing: "It's very sad to be priced out of our communities," says Kylie Carpenter, a Seattle teacher who tells Axios it feels almost impossible to buy a house nearby.

3. Inventory dried up

Those who scored ultra-low mortgage rates during the pandemic are hesitant to sell, locking up supply.

• Some feel stuck. The benefit "of having an affordable mortgage has locked us out of even considering selling and moving closer to where we both work" in Seattle, says Sean Bucknam, who moved to Tacoma with his wife as remote setups took off.

4. Builders ramped up, then pulled back

Buyers flocked to newly built homes, searching for options and deals, too.

Reality check: Homebuilding has slowed since then, partly due to elevated interest rates and steep construction costs.

5. Cash-rich people jumped in

Cash buyers, many of them investors, snapped up homes at record speeds during the pandemic.

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The U.S. Department of Education sent letters this week to 60 colleges and universities — including the University of Washington — warning they may lose federal funding if they don't do more to protect Jewish students from discrimination.

Why it matters: The warnings came just days after the Trump administration announced it was pulling $400 million in federal grants and contracts from Columbia University, alleging a pattern of antisemitic harassment on campus.

• Columbia was at the center of nationwide protests last spring over Israel's handling of the war in Gaza.

Catch up quick: Earlier this month, President Trump wrote on Truth Social that "all federal funding will STOP" for schools and universities that allow "illegal protests."

Zoom in: In addition to UW, three other colleges in Washington state — Pacific Lutheran University, Whitman College and Eastern Washington University — received letters from the Trump administration reminding them of their obligation to protect Jewish students under Title VI of the Civil Rights Act, according to an Education Department news release.

What they're saying: "The Department is deeply disappointed that Jewish students studying on elite U.S. campuses continue to fear for their safety," newly confirmed Education Secretary Linda McMahon said in a written statement.

The other side: In a statement to Axios, UW spokesperson Victor Balta said the university "stands firmly against antisemitism."

Go deeper

💦 Seattle is in for a cool, wet week, with widespread rain expected through Saturday and highs near 50. (FOX 13)

A British tourist's family is pleading for her release after ICE arrested her at the U.S.-Canadian border and took her to its Northwest Processing Center in Tacoma. (KUOW)

🗳️ Seattle Mayor Bruce Harrell is pushing to renew the city's first-in-the-nation democracy voucher program for another 10 years, arguing it makes politics more inclusive. (KOMO News)

In a city of trendy eateries and shiny new high-rises, Market House Meats on Howell Street remains a stubborn holdout — considered by some to be among the best spots for East Coast-style deli sandwiches in Seattle.

The vibe: Once surrounded by a patchwork of slightly run-down, squat buildings, Market House Meats now stands as one of the last remnants of old Seattle.

Dig in: A mountain of thinly-sliced meat is served on rye with potato salad, a pickle, a single cookie, and an eye-watering dose of horseradish.

• The stars are the pastrami, corned beef and melty Reubens, the latter loaded with Swiss cheese, sauerkraut, and Thousand Island dressing.

If you go: Sandwiches run about $22, but they're big enough to share.

March Madness has arrived, but we're taking it off the basketball court and into our cities' streets this year.

State of play: We're asking you to help determine who gets the crown for the best piece of public art.

How it works: Each Axios Local city in the region (Seattle, Portland, Phoenix, San Francisco, Salt Lake City, Denver, San Diego and soon Boulder) submitted two of their best and weirdest pieces of public art.

• Each was seeded No. 1 through 16 — much like the NCAA tournament.

What's next: Here's where you, the reader, come in. Click through the Sweet 16 version of our survey below and choose which piece of art wins the matchup.

• The winner will advance to the Elite Eight.

Vote here