📡 September 28, 2023: The Economic Collapse Blog > According to one analyst, a potential buyer would need an income of more than $125,000 a year in order to qualify for a mortgage on an average U.S. home right now… - #Buyers

 September 28, 2023 

by Michael

theeconomiccollapseblog.com

The steep drop in pending sales in August, on the heels of reports of slower existing and new home sales at the end of the summer, suggests that the market is cooling, said Lisa Sturtevant, chief economist at Bright Multiple Listing Service.

Overall, she said, total home sales this year could be below 4.2 million; that would be the lowest level since 2010.

With mortgage rates near and above 7% for all of August, purchasers’ buying power was crushed, and for many the math for buying a home just did not work.

“At a mortgage rate of 7%, a homebuyer would need an income of over $125,000 to qualify for a loan to purchase a $400,000 home,” said Sturtevant.

So the vast majority of us are just going to have to wait until the market shifts.

Of course housing is not the only thing that has become ridiculously expensive.

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