Buying your first home is one of those major milestones that your parents and grandparents probably didn’t even think twice about. Now, that milestone is slipping further out of reach for the average American.
US housing prices have trapped those reaching home-buying age in the rent-cycle. Sure, demographic shifts could help, but that relief wouldn’t hit for quite a while. The quickest solution would be ramping up home building, but that hasn’t happened at scale. And demand hasn’t dropped since the boomers are aging in place. Oh, and lending costs are getting higher, too.
It’s the perfect storm to lock out first-time home buyers, and there’s no relief in sight…especially not within this decade.
