05/17/2025
Market update: The issue of affordability continues to plague buyers seeking to purchase a house. The national association of home builders estimates that 57% of households currently could not afford a house of $300,000 at the mortgage rate of 6.5%. There may be a turn of fortune on the horizon for home buyers though, with rates currently expected to drop and the supply of housing on the market increasing 20% since this same time last year; home sales have still slowed to the slowest rate since 2009. If you’re thinking of selling a current home, but your current mortgage rate is below 3%, that needs to be factored in. If you’re looking to downsize, this may also be the beginning of a once-in-a-decade opportunity to position yourself to use equity. Now is one of those times to pay attention, markets can change fast for better or worse. Don’t miss your opportunity to secure a home that meets your needs for the future!
https://www.nahb.org/blog/2025/03/priced-out-affordability-pyramid
https://www.cnbc.com/amp/2025/04/24/march-home-sales-drop.html
NAHB has updated its housing affordability graph for 2025, and the latest data show that 76.4 million households, 57% out of a total of 134.3 million, are unable to afford a $300,000 home.