With the housing market finally beginning to cool for the first time in two years, there is hope for first time home buyers. They just need to be patient.
According to Market Watch, affordability still remains a challenge. The median sales price of houses was $428,700 in the first quarter of 2022, up 30% from $329,000 in the first quarter of 2020. Mortgage rates jumped from 2.75% in the fall for a 30-year fixed to over 5.25%. Redfin RDFN estimates that 8.2% of homes are valued at $1 million or higher, equivalent to 6 million properties, up from 3.5 million homes, or 4.8% of the nation’s housing stock, two years earlier.