Mortgage
Affordability for homebuyers reaches an all-time low.
The average monthly mortgage payment for a home purchase increased by 10% year-over-year to $2,721. The Mortgage Bankers Association reported a median disbursement increase of $50 from January to $2,184 in February. Rates are sticking around the 7% range, contributing to the rise in payments. New listings were up 15% from the previous year, leading to a 6% increase in total homes. Median-priced homes remain less affordable in over 95% of U.S. counties compared to historical averages. Affordability measures have improved quarter-to-quarter but are worse than one year ago. The percentage of average wages needed for mortgage payments remains up almost 3 points from one year ago. In only 13 counties nationwide were home prices more affordable than historical averages, with high-priced markets like Manhattan and San Francisco included. Buyers are making high down payments or willing to take on high rates in hopes of refinancing when rates decrease.
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