People Are Still Moving, Even with Today’s Affordability Challenges

Buying Myths Laura Miller Edwards Realty Group November 28, 2023



If you're thinking about buying or selling a home, you might have heard that it’s tough right now because mortgage rates are higher than they’ve been over the past few years, and home prices are rising. That much is true. Take a look at the graph below. It breaks down how the current affordability situation stacks up to recent years.

 

 

The National Association of Realtors (NAR) explains how to read the values on the graph:

“To interpret the indices, a value of 100 means that a family with the median income has exactly enough income to qualify for a mortgage on a median-priced home.”

The black dotted line represents that 100 value on the index. Essentially, the higher the bar, the more affordable homes are. As you can see, the orange bar for today shows higher mortgage rates and home prices have created a clear challenge. But, while affordability is definitely tighter right now, that doesn’t mean the housing market is at a standstill.

According to NAR, based on the pace of sales right now, just under 4 million homes will sell this year. With some simple math, let’s break down what that really means for you:

  • 3.96 million homes divided by 365 days in a year = 10,849 houses sell each day
  • 10,849 divided by 24 hours in a day = 452 houses sell per hour
  • 452 divided by 60 minutes in an hour = about 8 houses sell each minute

So, on average, over 10,000 homes sell each day in this country. Whether you're a buyer or a seller, this goes to show there are still ways to make your move possible, even at a time when affordability is tight.

An Agent Can Help You Make Your Move a Reality

You may be wondering how other homebuyers and sellers are making this happen now. One of the biggest game-changers in today’s market is working with a trusted local real estate agent. Great agents are helping other people just like you navigate today’s market and the current affordability situation, and their insight is invaluable right now.

True professionals will be able to offer advice tailored to your specific wants, needs, budget, and more. Not to mention, they’ll also be able to draw on their experience of what’s working for other buyers and sellers right now. This could mean broadening your search, if needed, to include other housing types like condos, townhouses, or neighborhoods a bit further out to help offset some of the affordability challenges today. 

Bottom Line

You might think there aren’t many people buying or selling homes right now since affordability is tighter than it’s been in quite some time, but that’s not the case. It’s true that buying a home has become more expensive over the past couple of years, but people are still moving.

If you’re hoping to buy or sell a home today, know that other people are still making their goals a reality – and that’s happening in large part because of the help and advice of skilled local real estate agents. Want to talk to a trusted professional about your own move? Let’s connect. 

This blog post previously appeared on https://www.simplifyingthemarket.com/en/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges?a=106260-312309902871c1f0d820820f58bf8fde. The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Keeping Current Matters, Inc. and the Laura Miller Edwards Realty Group do not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Keeping Current Matters, Inc. and the Laura Miller Edwards Realty Group will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.


Recent Blog Posts

Stay up to date on the latest real estate trends.

A cozy living room with a light-colored couch, pillow, blanket, coffee table, side table, hardwood flooring, and white walls.

First Time Home Buyers

Strategic Tips for Buying Your First Home

If you're ready to buy your first home, here are three tips to help you turn your dream into a reality.

For Sellers

It’s Time To Prepare Your House for a Spring Listing

If you're thinking of selling your house this spring, now is the perfect time to start getting it ready.

New Construction

Why Having Your Own Agent Matters When Buying a New Construction Home

it’s important to remember the process of working with a builder is different than buying from a homeowner.

First Time Home Buyers

Key Terms Every Homebuyer Should Learn [INFOGRAPHIC]

If you want to become a homeowner this year, it's a good idea to learn key housing terms and understand how they relate to the current housing market.

a house with a well-maintained lawn and flower garden.

Move-Up Buyers

Are More Homeowners Selling as Mortgage Rates Come Down?

If you’re looking to buy a home, the recent downward trend in mortgage rates is good news because it helps with affordability.

For Sellers

3 Must-Do’s When Selling Your House in 2024

Keep these three best practices in mind when you’re ready to sell.

Infographics

The Benefits of Working With an Agent When You Sell Your House [INFOGRAPHIC]

Thinking about selling your house? The expertise of a trusted real estate agent can make a big difference.

First Time Home Buyers

What You Need To Know About Saving for a Home in 2024

If you’re planning to buy a home, knowing what to budget for and how to save may sound intimidating – but it doesn’t have to be.

Selling Myths

If Your House Hasn’t Sold Yet, It May Be Overpriced

If your house still hasn’t sold, there’s a reason why. One potential sticking point that may be turning buyers away: your asking price.

Work With Us

Get assistance in determining current property value, crafting a competitive offer, writing and negotiating a contract, and much more. Contact us today.