Home buyer affordability continued to improve in September, according to the Mortgage Bankers Association. The MBA's monthly Purchase Applications Payment Index – which measures the national median mortgage payment applied for by prospective home buyers – found payments down 0.8 percent from the month before.
Edward Seiler, MBA's associate vice president, Housing Economics, and executive director, Research Institute for Housing America, says affordability is now better than it's been in two years. “Home buyer affordability conditions improved for the fifth consecutive month, as mortgage rates … improved purchasing power for prospective buyers,” Seiler said. “Overall affordability is now at its highest level since August 2022, but the recent jump in rates will likely cause conditions to plateau.” In September, the median monthly mortgage payment fell to $2,041 from $2,057 the month before. For borrowers applying for lower-payment mortgages, payments fell to $1,369.
[Source: MBA]
