The housing market in America has never been more unaffordable, according to the Mortgage Bankers Association. The Purchase Applications Payment Index hit a new high in April, meaning new home buyers are in the worst situation for affordability since the end of the Great Recession. Interest rates have stayed high, average mortgage application amounts have jumped, and income growth has not kept pace. This means that current homeowners with low interest rates are in a good position, but for those looking to buy their first home or those looking to upgrade, it’s a daunting prospect.
The Mortgage Bankers Association (MBA) is a trade association representing all aspects of the mortgage finance industry in the United States.
Edward Seiler is the Associate Vice President for Housing Economics at the Mortgage Bankers Association.
