The current housing market offers a crushing affordability picture for would-be-homebuyers and is keeping many out of the market.
The monthly payment on an average-priced home now requires 40% of the median household income, making housing the least affordable it’s been since 1984, according to ICE.
“Longer term Treasury yields — which mortgage rates tend to follow — depend on expected economic growth and inflation expectations,” said Orphe Divounguy, senior economist at Zillow.
The median household income was $74,580 in 2022, according to the US Census Bureau.
“Good news in the economy causes rates to stay higher for longer — but the longer rates are higher, the more likely something in the market goes ‘boom.’”
Persons:
Freddie Mac, ”, Andy Walden, ” Walden, Orphe Divounguy, Nicole Bachaud, Bachaud, John Toohig, Raymond James, ” Toohig, “
Organizations:
DC CNN —, ICE Mortgage Technology, Black, ICE, “, Zillow, Census Bureau
Locations:
Washington