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Nearly 40% Of Homeowners Couldn’t Afford Their Homes Today

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  Almost two out of five homeowners (38%) say they could not afford their own home if they were to buy it today. And while Baby Boomers typically have more financial resources to tap for a home purchase, they’re also the most likely to say they could not afford to buy their home today. That’s according to a new survey commissioned by Redfin and conducted by Qualtrics in February 2024, with responses from roughly 3,000 U.S. residents. Nearly six out of ten (59%) homeowners who answered this question (“Could you afford to buy your home if you were purchasing it today?”) have lived in their current home for 10 years or more, while another 21% have owned their home for at least five years. So, the majority of the homeowners responding to this survey have seen how home prices in their neighborhood have soared since they bought their current home. The median U.S. home sale price has doubled over the last decade. The past five years alone have seen a 50% jump in price. And they’ve soared for
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Nearly 20% Of Home Sellers Take A Loss In This City—Compared To 4% Nationwide

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  Nearly one in five San Francisco home sellers (17.8%) are taking a loss on the sale of their home during the three months ending February 29, 2024—higher than any other metro and more than four times the nationwide share. That’s according to a new report from Redfin. And that loss is likely due to home prices in the area coming back down after soaring to unsustainable levels during the pandemic. That 17.8% is comparable with the 17.9% share recorded for the three months ending January 31—the highest share reached in 11 years. Meanwhile, the nationwide share of home sellers losing money is much smaller (4.3%) thanks to home prices holding steady near record highs. That nationwide share is the highest recorded since May 2021, but it’s remained fairly stable over the past couple years, ranging between 2% and 4.5%. Home sellers in New England are least likely to lose money on the sale of their homes, with less than 2% of sellers in Providence, RI, and Boston, MA, reporting a loss. SOME S
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1 In 5 Americans Are Making Big Sacrifices to Afford Monthly Housing Costs

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  A new report from Redfin highlights the sacrifices Americans are making to afford their monthly housing costs. Redfin commissioned the survey conducted by Qualtrics in February and fielded to 2,995 U.S. homeowners and renters. Redfin’s report zooms in on the 1,494 respondents (49.9%) who said they “sometimes, regularly, or greatly struggle” to afford their monthly rent or mortgage payments. Redfin asked these respondents, “ Which of the following, if any, changes or sacrifices did you make in the past year to afford your monthly housing costs, including mortgage or rent, insurance, parking, heating/cooling/electricity or homeownership association dues? ” For starters, about 1 in 5 have skipped meals (22%) and/or worked additional hours (20.7%) to bridge the gap, while 17.9% borrowed money from family or friends, and 15.6% have put medical treatments on hold. The most common sacrifice among white and Asian/Pacific Islander respondents was skipping vacations. Black respondents were mos
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Squatting Has Gone Viral—And Some Are Taking Matters into Their Own Hands

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Blame COVID—partly.  When the pandemic hit and renters across the country lost their incomes, some states passed laws making it harder for landlords to evict them.  Two of those states, California and Washington, are notable for their leniency toward those who can’t afford to pay rent—or, in some cases, simply choose not to. And unemployed renters aren’t the only ones taking advantage.  An unintended consequence of those laws is the growing number of squatters moving into people’s homes and rental properties—and using the laws in place to prevent their eviction. One TikToker has even shared squatting tips, advising illegal immigrants on how to “invade” people’s vacant homes and use progressive squatting laws to their advantage. His video had about four million views before he closed his account.  Some news outlets argue that the squatter problem is not as prevalent as viral news stories make it appear. And that may be true.  But there are more than enough stories to justify a closer lo
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The Pandemic Roiled the Housing Market

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  The Pandemic Roiled the Housing Market—but Small Signs Show It’s Finally Bouncing Back It’s no secret that the pandemic upended the housing market—and the fallout is still reverberating today, affecting homebuyers  and  sellers. A quick recap: In the past four years, list prices shot up, the number of properties on the market plunged, and home sales dropped dramatically. “Some of the problems that existed before the pandemic were magnified,” says Realtor.com® Chief Economist  Danielle Hale . “We had a housing shortage, and that probably was exacerbated by COVID-19 as builders struggled to build and housing demand went through the roof.” And who could forget mortgage rates, which fell to record lows during the pandemic before rebounding—and then some. “The sharp drop in mortgage rates that we saw as policymakers tried to shore up the economy caused a lot of people to choose to move,” Hale explains. “Those movers are now locked into mortgage rates that are much lower than today’s mortg
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