Tag: affordability

Housing Policy Takes Center Stage… Carrots and Sticks Galore!

January 16, 2026 by Alan Ratner

It’s been a dizzying start to the year for the homebuilding industry. Since October, President Trump, FHFA Director Pulte and other White House officials have been meeting with homebuilding executives to discuss the country’s housing affordability crisis and what steps the industry and government can take to relieve this burden on potential homebuyers...

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affordability home pricing homebuilding homeownership interest rates mortgage mortgage rates

Cautiously Optimistic on the Main Course for 2026… with a Side of Wage Garnishment

January 08, 2026 by Ryan McKeveny

Looking ahead to 2026 for the housing market and its various subsectors, there are several reasons for optimism. We enter 2026 with mortgage rates at 6.2%, down 75 basis points from a year ago and near the lowest levels since 3Q22. Combined with home price growth that has lagged income growth over the last year – a trend we expect to continue...

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affordability home improvement home pricing homeownership interest rates macro housing mortgage mortgage rates

Student Loan Debt Looming as Affordability Constraints Stretch Further

July 13, 2023 by Alan Ratner

Given a combination of the recent increase in mortgage rates and a reacceleration in home prices over the last three months, the current P&I payment on an average new home stands at roughly $3,000 per month – up nearly 70% from two years ago and 25% above trend line...

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affordability homeownership millennials mortgage rates student debt

Are Home Prices Being Viewed With Rose Colored Glasses?

November 02, 2022 by Ryan McKeveny

Earlier this week, CoreLogic released its preliminary national home price index related to September home closings, showing a 50 basis point sequential decline on top of July and August’s decreases of 60 and 100 basis points, respectively. Given the natural lag between pending and closed transactions, the trends imply that underlying price pressure...

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affordability home pricing

Slowing Demand Driving For-Sale Inventory Higher Despite Decline in New Listings

October 12, 2022 by Kevin Kaczmarek

CoreLogic recently released detailed home price appreciation data for the month of August that showed prices declined on a sequential basis for the second straight month. The 1.2% decline over the two-month period is the first nationwide home price reversal since the Great Financial Crisis. As a reminder...

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affordability home pricing real estate services

FHA Borrowers Cry "Uncle" for Downpayment Help

August 25, 2022 by Kevin Kaczmarek

Entry-level credits are facing a unique set of macro circumstances that have made it increasingly challenging to navigate the home purchase market. Prospective homebuyers are now having to factor in higher monthly mortgage payments, leaving less room for other expenses, while at the same time higher inflation eats away at how much...

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affordability entry-level mortgage

Share of Homebuyers With Weaker Credit Profiles Bouncing Back, But Not Everywhere

February 03, 2022 by Kevin Kaczmarek

As we noted in our latest mortgage survey and November newsletter, lower-quality credits have been gaining share in the home purchase market and likely will continue to do so, barring a sudden resurgence in refinance activity. Some may ask how this can be the case given daily media headlines describing red-hot housing markets and affordability crises. Before addressing that, we should examine some facts...

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affordability demographics homeownership macro housing mortgage mortgage rates new home sales

Is the "Pig in the Python" Back?

June 24, 2021 by Ivy Zelman & Rachel Rockey

In 2009, when distressed activity was top of mind, we were vocal in our concern that the buildup of foreclosure moratoriums was portraying a false sense of security at a time when industry participants and investors were hoping for a bottoming out in the market. Our views were justified as...

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affordability existing home sales homeownership housing macro housing mortgage supply

A Single-Family Buy-Versus-Rent Comparison Like Never Before

May 25, 2021 by Dennis McGill & Alan Ratner

Historically, buy-versus-rent calculations have been widely utilized to assess housing affordability, but we have always struggled with the limitations around real world comparability. Data constraints have led many to compare different asset classes (single-family versus multi-family)...

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affordability build-for-rent new home sales single-family rental

Revisiting History as Mortgage Rates Climb Higher

April 01, 2021 by Ivy Zelman & Dennis McGill

No discussion about the health of, and future outlook for, the housing market would be complete without consideration of the mortgage rate environment. During our September 2020 Virtual Housing Summit presentation, we spent considerable time dissecting the various catalysts...

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affordability interest rates macro housing mortgage mortgage rates