Each quarter, ATTOM Data Solutions produces an affordability report comparing current conditions to historical averages. The report looks at factors like home prices, mortgage rates, and wages in counties across the country than compares them to long-term data. According to their first quarter U.S. Home Affordability Report, there was a slight improvement in buyers’ ability to comfortably afford a home, with the percentage of counties where homes are less affordable than historical averages falling from the previous quarter.
But while there was improvement, it was only a 1 percent improvement. Rob Barber, ATTOM’s CEO, says there are several factors at play. “Over the last several years, wages haven’t kept up with rising home prices in many markets,” Barber said. “Mortgage rates dropped throughout last year, which offset some of that growing affordability gap, but shifts in the broader economic environment can still influence rates and home purchasing power.”
[Source: ATTOM Data Solutions]
