Currently Reading

Housing Affordability Is Worsening in Most Counties Across the U.S.


Housing Affordability Is Worsening in Most Counties Across the U.S.

Rising mortgage rates and idle household incomes are hurting prospective homebuyers across the U.S.

May 12, 2022
Home model on bed of money housing affordability

Until recently, homebuyers backed by low mortgage rates and rising wages were able to secure purchases on homes with inflated price tags, but as mortgage rates rise beyond 5% and wage growth slows to a halt for some, home affordability continues to deteriorate across the U.S., The Washington Post reports. The portion of wages required to buy a home grew at its fastest pace in over 15 years between the first quarter of 2021 and the first quarter of 2022, but the average household income isn’t rising quickly enough to offset higher home prices.

During the first quarter of 2022, the median priced home was less affordable than historical averages in 79% of all counties nationwide. The median national home price rose 16% year-over-year during the first quarter of 2022, while average wages rose by just 7% across the U.S.

Affordability is determined by Attom’s researchers as a comparison of the average income needed to pay for homeownership costs (including the mortgage payment, taxes and insurance) for a median-priced home for each county. The analysis assumes a 20 percent down payment and that the homeownership costs represent a maximum of 28 percent of the household income.

Until recently, low mortgage rates and rising wages were able to offset rising home prices, but with mortgage rates approaching 5 percent during the first quarter of the year, affordability was reduced.

Read more

Related Stories

Housing Markets

Texas Is Home to More Than One Overvalued Metro

The 2008 housing bubble missed Texas, but the popular Sun Belt state is now home to some of the priciest regional markets in the nation

Housing Markets

Which Local Housing Markets Will See Price Reductions in 2022?

Some overheated housing markets are already seeing prices drop, but most will be bogged down by more gains throughout the majority of 2022


Asking Rents Continued to Rise in April, But at a Slower Pace

An overheated rental market may finally be cooling down, but prices remain at record highs in most major metros


More in Category


Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.