Cost hikes last year priced out nearly one million renters from the ranks of homeowners, according to a recent REALTORS study.
The income a household needs to pay a mortgage for a median-priced home rose in 2021 to $62,872, up from $55,186 in 2020. That figure stems from the calculation of income a household needs to pay the mortgage affordably so that monthly mortgage payments with interest do not exceed 25% of income.
The home price hike makes it more difficult for many renters to qualify for home loans. The median existing-home sales price averaged $345,442 in 2021, a 16.4% increase from the median sales price of $296,700 in 2020.
Based on the above figures, the National Association of Realtors estimated that the number of renter households who can pay the mortgage affordably in the U.S. declined from 8.75 million to 7.71 million.
Related Stories
Codes and Standards | Jan 3, 2019
Tall mass timber code changes receive final approval
New provisions to be included in the 2021 International Building Code.
Codes and Standards | Jan 2, 2019
ASHRAE’s Low-Rise Residential Buildings standard update now available
Performance measures are at least 50% more efficient than 2006 IECC.
Codes and Standards | Jan 2, 2019
Study compares labor hours for various low-slope roofing options
Type of roof covering, project parameters, tool management, and crew efficiency all impact profitability.
Codes and Standards | Dec 20, 2018
New York’s ‘Scaffold Law’ under fire for driving up project costs
Lawmakers under pressure to reform law that makes contractors 100% liable for work-site injuries.
Codes and Standards | Dec 19, 2018
Guidance for water utilities on indoor recycled water use released
Provides recommended ranges on 13 different parameters of water quality.
Codes and Standards | Dec 18, 2018
Development in Africa, Asia, and uptake in air conditioning will require more efficient buildings
Dramatic action will be needed for global building sector to cut carbon in line with international agreements.
Codes and Standards | Dec 14, 2018
Emissions for buildings and construction have peaked, UN says
Greener buildings have led to leveling off of GHGs.
Codes and Standards | Dec 13, 2018
Urban flooding causing economic loss, social disruption, and housing inequality
Extensive suburban development, aging and poorly maintained infrastructure, and more intense rainfall mean more flooding.
Codes and Standards | Dec 12, 2018
California’s transportation problems could prevent state from reaching carbon reduction goals
Governor’s carbon neutral-by-2045 ambitions at odds with car culture.
Codes and Standards | Dec 11, 2018
Strict seismic building codes credited with minimizing damage in Alaskan earthquake
Magnitude 7.0 temblor cracked roads and collapsed road ramps, but buildings held up well.