Who can afford to purchase a residential property in today’s real estate market? Home prices are up substantially from the beginning of the coronavirus pandemic, mortgage rates are the highest they have been in about two decades, and new housing construction activity has still not recovered from where it was before the 2006 subprime meltdown. Suffice it to say, America is facing a crippling housing crisis, and it is unclear when things will improve.
The Housing Crisis Dollars and Cents
According to the US Department of Housing and Urban Development, the median sales price for houses sold in the second quarter of 2023 was $416,100. This is slightly down from last year’s all-time high of $480,000. However, home prices have skyrocketed 30% since the early days of the coronavirus pandemic.
Financing the largest purchasing decision of your lifetime has also become a nearly impossible…
