The National Association of Realtors said earlier this month that its housing affordability index fell during the second quarter to its lowest level on record. Not coincidentally, the first quarter of 2021 turned out to the be peak in housing affordability. The consequence has been the massive drop in housing affordability to new lows. But still, housing affordability is as low as it's been since at least 1986. Given its importance to the wider economy, a robust housing market will likely be a precondition to achieving a relatively seamless transition to long-term economic expansion.

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Persons: It's, Freddie Mac, Justin Lahart, it's Organizations: National Association of Realtors, Fed