Affordability issues in the housing market improved slightly in 2024, with the percentage of income spent on housing decreasing to 41.8% from 42.2% in 2023. However, housing remains largely unaffordable, necessitating an income of $116,782 just to allocate 30% of earnings to housing costs. This indicates that while there is minor progress, the struggle with affordability is expected to persist, with home prices likely continuing to rise into 2025.
Redfin senior economist Elijah de la Campa highlighted that the slight improvement in affordability stems from wage growth outpacing the rise in monthly housing payments. But this does not mean buying a home has become accessible for many Americans. The primary concern remains the unattainable prices that keep potential buyers on the sidelines, forcing them to consider renting as a more viable option.
Collection
[
|
...
]