The Mortgage Bankers Association reported a decline in median payments for home loan applicants, signaling a shift in affordability for prospective homebuyers, even amidst rising home prices.
Despite an increase in the median loan size, the average mortgage payment dropped by 0.8% from August to September, aided by a mortgage rate decline of 31 bps.
Overall affordability levels have reached their highest since August 2022, driven by improved purchasing power as mortgage rates hovered near the low 6% range.
The expected plateau in conditions suggests that despite recent improvements in affordability, the rising mortgage rates in the latter part of the year could slow the trend.
Collection
[
|
...
]