🏡 Unlocking Affordability: How Monthly Costs Just Dropped by $280
If You Hit Pause on Your Move, It Might Be Time to Revisit the Numbers
If high mortgage rates or rising prices made you hold off on buying, now could be a good moment to take another look. According to First American, affordability is improving in 39 of the top 50 markets—and this marks the fifth straight month that buying a home has become a bit easier.
Let’s translate that into real dollars so you can see what that improvement actually means for you and your next move.
Monthly Payments Are Trending Down
One of the clearest indicators of this shift is in monthly mortgage payments. Recent data from Redfin shows that payments on a median-priced home are now about $283 lower than they were just a few months ago (see graph below).
That kind of monthly savings adds up quickly—almost $3,400 over the course of a year.
Now, that might not completely turn the affordability picture around overnight, but it’s definitely a meaningful difference. When you’re mapping out your homebuying budget, even a few hundred dollars a month can be the tipping point between feeling stretched and feeling confident about your purchase.
From a home search standpoint, those savings can also expand your options. According to Redfin:
“A borrower with a $3,000 monthly budget can now afford a $468,000 home—about $22,000 more than in June.”
That’s a game-changer if you’ve been struggling to find a home you love within your price range. A little extra room in your budget can open the door to more possibilities—and maybe even the home that checks all your boxes.
Either way, that’s a clear win.
What’s Causing the Change?
While inventory has slowly increased, we’re still far from having an oversupply of homes.
In fact, many neighborhoods across Houston — from Kingwood and The Woodlands to Cypress and Conroe — still face tight inventory.
A true market crash requires an excess of available homes and not enough buyers. That’s just not the case right now. Demand continues to outpace supply, especially for move-in-ready homes in desirable suburbs.
A couple of key factors are finally starting to work in your favor:
Mortgage rates have come down from the highs we saw earlier this year.
Home price growth has cooled in many areas across the country.
Together, these shifts are easing some of the pressure on buyers and giving you a little more breathing room in your budget.
As Andy Walden, Head of Mortgage and Housing Market Research at ICE Mortgage Technology, explains:
“The recent pullback in rates has created a tailwind for both homebuyers and existing borrowers. We’re seeing affordability at a 2.5-year high…”
Whether you’re buying your first home or looking to upgrade, these trends could make the move you’ve been waiting on finally within reach. Talk with a trusted lender or real estate professional to see how today’s numbers could impact your monthly payment.
For some buyers, these savings could be the difference between ‘not yet’ and ‘let’s do this.’
Bottom Line
Affordability is improving across much of the country—and that could change the numbers on your move.
If you’ve been waiting for the right moment to jump back in, this might be it. Reach out to a trusted local agent or lender to review your options and see how much more buying power you have today compared to just a few months ago.
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📍 Making Houston Home | eXp Realty
Disclaimer: The information provided in this blog post is based on the latest available data at the time of writing, which is subject to change. It is intended for informational purposes only and should not be considered as financial or investment advice.