The monthly payment is the ultimate barrier to entry. This matrix clearly shows the overwhelming depth of the affordability gap and why buyers remain locked out.
Now is a great time to be a seller! Let me know if youre intersted in selling a portfolio in Richmond.
The Housing Affordability Matrix:
Affordability Comes Down to Monthly Payment
When discussing the housing crisis, the problem isn't just high prices OR high rates—it’s the lethal combination of both.
To return affordability to roughly $1,930 (the arrowed cell), we need two simultaneous, massive shifts:
1. Home Prices must drop by 15.0%.
2. Mortgage Rates must drop to 4.10%