American Housing Shortage, Elevated Prices. Unattainable Mortgages, And Unavailable Rental Units
Americans cannot afford to buy a first time home with the ‘Existing Home Median Sales Price’ at a current level of $407,600, up from $392,900 last month, and up from $385,800 one year ago.
American Housing Shortage, Elevated Prices. Unattainable Mortgages, And Unavailable Rental Units |
Americans cannot afford to buy a first time home with the ‘Existing Home Median Sales Price’ at a current level of $407,600, up from $392,900 last month, and up from $385,800 one year ago. This is a change of 3.74% from last month and 5.65% from one year ago. The real estate firm Zillow reports that since January 2020, the monthly mortgage payment on a typical U.S. home has nearly doubled. It’s up 96% in just four years.
To add insult to injury on the housing crisis, America is deficient approximately 7.2 million single family homes over the past few years. Add in the 12 - 15 million illegal aliens that have entered the United States since Biden took office, we are in a true housing crisis.
Furthermore, rental units have also increased substantially over the last couple of years for Americans. For example, between Q1 2021 and the corresponding period in 2022, the average rent increase per year was 18%. The National Low Income Housing Coalition (NLIHC) released a report in March with the latest version of its annual report ‘The Gap: A Shortage of Affordable Homes.’ This year’s report reveals that the lowest-income renters in the U.S. face a shortage of 7.3 million affordable and available rental homes. Rents in some cities have increased anywhere from 30 - 50%.
Since 1980, the real average wage declined 26.0% faster than the average rent increased YoY.
Homelessness Grew Almost 13% in 2023
This is the highest number of homeless people since the Housing and Urban Development agency started recording homelessness in 2007.
The United States Housing and Urban Development agency reported “at the end of January 2023, 653,104 people – or about 20 of every 10,000 people in the United States – experienced homelessness across the United States. This is the highest number of people counted and reported as experiencing homelessness on a single night since reporting began in 2007.”
It will be interesting to learn next year what the potential increase in the number of homeless people in America will be from this year.
They want everyone living in stacked up mobile homes so they can scoop up all the properties that default! It’s been trending that way for awhile now.