BuyingaHomeSpring2026.pptx (Bound Documents) (Notepads) (1) (1) - Flipbook - Page 6
Affordability Is Moving
in the Right Direction
There’s finally good news for anyone who’s been priced out or sitting on the
sidelines. Buying a home is getting more affordable. While that doesn’t mean
everyone can suddenly afford a home, the improvement we’re seeing matters.
One of the best ways to see the affordability shift is by looking at how much of a household’s
income it takes to buy a home. According to Zillow, housing is typically considered affordable
when it takes 30% or less of your monthly income to cover your expenses. That includes your
mortgage payment, taxes, insurance, and basic maintenance.
For the past few years, the math was well above that threshold, and it made buying a home
unachievable for many. But now, it’s taking less of a typical household’s income to buy a
home than it did just a few years ago (see graph below):
Now, affordability is still tight. But things are trending in the right direction. And some markets
may even fall back under that 30% threshold by the end of this year.
Bottom Line
The improvement isn’t happening everywhere at the same speed. If you want to see how
these trends show up in our area, let’s talk.
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