Solutions For RealSolutions For Real
  • Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans

Subscribe to Updates

Get the latest finance news and updates directly to your inbox.

Top News

Proposed Law Would Mandate Automatic Enrollment Into Medicare Advantage

July 9, 2025

6 Steps to Creating a Home Inventory — Before It’s Too Late

July 9, 2025

How to Turn Summer Travel into More Business and Less Taxes

July 9, 2025
Facebook Twitter Instagram
Trending
  • Proposed Law Would Mandate Automatic Enrollment Into Medicare Advantage
  • 6 Steps to Creating a Home Inventory — Before It’s Too Late
  • How to Turn Summer Travel into More Business and Less Taxes
  • Why The SSA’s Big Beautiful Bill Statement Jeopardizes The Agency’s Trust
  • New Tariff Threats Tank Stocks: Find Out How to Protect Your Portfolio
  • Being ‘Nice’ Almost Cost Me My Business — Here’s What I Do Differently Now
  • Jack Dorsey Announces Bitchat Messaging App
  • Here Are the Traits OpenAI Executives Look For in New Hires
Wednesday, July 9
Facebook Twitter Instagram
Solutions For RealSolutions For Real
Subscribe For Alerts
  • Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans
Solutions For RealSolutions For Real
Home » US housing affordability at an all-time low
News

US housing affordability at an all-time low

News RoomBy News RoomAugust 7, 20230 Views0
Facebook Twitter Pinterest LinkedIn WhatsApp Reddit Email Tumblr Telegram

Global markets publication The Kobeissi Letter declared last week that housing affordability in America is now at an all-time low, pointing to several striking data points showing it is more expensive to pay for a place to live in the U.S. than ever.

For starters, the outlet said buying a house in the U.S. has become a luxury. It pointed to a Redfin report released Friday showing the median home mortgage payment in the U.S. hit $2,605 a month in July, up 19% from a year ago and the most expensive ever.

Kobeissi reported there are now a record 31 states where homeowners pay a median monthly house payment above $2,000 per month, and Hawaii is now the first state in history with a median house payment above $5,000. Not far behind are Californians whose median mortgage bill is at $4,800, followed by Massachusetts homeowners who pay $4,000.

Thirty-seven states now require at least 30% of median annual income for new home payments in what the letter said “truly is an unprecedented market.” In California, the median house payment requires a record 64% of median household income.

SEATTLE WOMAN OCCUPIES TREE SCHEDULED TO BE CUT DOWN FOR AFFORDABLE HOUSING UNITS

It’s not just pricey to buy a home – renting one will also set Americans back more than ever before. The median asking rent for a single-family home just reached an all-time high of $1,900 a month. 

home for rent in Miami

Adam Kobeissi, the letter’s founder and editor-in-chief, noted to FOX Business that affordability is even lower than in housing crisis of 2008, but the market circumstances are much different today: this is primarily a supply issue, not necessarily demand.

Kobeissi says typically, in a market where interest rates rise as fast as they have under the Federal Reserve’s ongoing rate-hike campaign that currently has the average for a 30-year mortgage around 7.1%, housing prices would be expected to pull back. 

“This time around it’s been the exact opposite, and it’s not because of a lack of demand, but because of abundant demand – it’s because of lack of supply,” he said. “So basically, what it means for consumers is we don’t think the housing market is going to have a substantial drought anytime soon.”

WHITE HOUSE TARGETS ‘JUNK FEES’ AS RENT PRICES SOAR UNDER BIDEN ADMINISTRATION

Kobeissi said home prices may pull back 10% or 20% maximum at some point, but his analysts do not see an ’08-style event happening, adding, “It’s not the same setup, but it just means that the housing market is just going to stay stubborn for longer in our view.”

One of the reasons supply is so limited, Kobeissi says, is that there are so many homeowners locked into sub-3% and sub-4% mortgage rates, so most people do not want to sell their homes and end up with a 7%-plus rate.

new homes being build in Sacramento, California

When asked about reports that rising home construction could help ease the inventory shortage, Kobeissi said that might help, but the problem is new construction is still being sold at a hefty premium, too. He noted the cost of building materials remain historically high since their surge during the pandemic era.

He explained, “There are so many different things: low inventory, inflation, interest rates – those are all kind of working together in this situation.”

Read the full article here

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Articles

Lucid shares tumble following public offering of nearly 262.5 million shares

News October 17, 2024

Harris distances herself from Biden, bashes Trump in tense Fox News interview

News October 17, 2024

Alibaba’s international arm says its new AI translation tool beats Google and ChatGPT

News October 16, 2024

I bought a $54,000 abandoned house in Japan and turned it into a luxury Airbnb—take a look inside

News October 16, 2024

Trump’s crypto coin goes on sale with Election Day just three weeks out

News October 15, 2024

Cramer’s Lightning Round: Uranium Energy is ‘the real deal’

News October 15, 2024
Add A Comment

Leave A Reply Cancel Reply

Demo
Top News

6 Steps to Creating a Home Inventory — Before It’s Too Late

July 9, 20250 Views

How to Turn Summer Travel into More Business and Less Taxes

July 9, 20250 Views

Why The SSA’s Big Beautiful Bill Statement Jeopardizes The Agency’s Trust

July 8, 20250 Views

New Tariff Threats Tank Stocks: Find Out How to Protect Your Portfolio

July 8, 20250 Views
Don't Miss

Being ‘Nice’ Almost Cost Me My Business — Here’s What I Do Differently Now

By News RoomJuly 8, 2025

Entrepreneur In the early days of building my company, before team retreats, company values or…

Jack Dorsey Announces Bitchat Messaging App

July 8, 2025

Here Are the Traits OpenAI Executives Look For in New Hires

July 8, 2025

Big Beautiful Bill Estate Planning Ideas

July 7, 2025
About Us
About Us

Your number 1 source for the latest finance, making money, saving money and budgeting. follow us now to get the news that matters to you.

We're accepting new partnerships right now.

Email Us: [email protected]

Our Picks

Proposed Law Would Mandate Automatic Enrollment Into Medicare Advantage

July 9, 2025

6 Steps to Creating a Home Inventory — Before It’s Too Late

July 9, 2025

How to Turn Summer Travel into More Business and Less Taxes

July 9, 2025
Most Popular

How To Manage Inherited IRA Rules That Can Surprise And Trap Heirs

January 18, 20251 Views

Proposed Law Would Mandate Automatic Enrollment Into Medicare Advantage

July 9, 20250 Views

6 Steps to Creating a Home Inventory — Before It’s Too Late

July 9, 20250 Views
Facebook Twitter Instagram Pinterest Dribbble
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact
© 2025 Solutions For Real. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.