“These numbers show that the costs of owning a home are at the same level as buying a used car every year,” Bankrate analyst Jeff Ostrowski said in a statement Monday. “Homeownership is an important wealth-builder for many Americans, but it ain’t cheap,” he added.
Homeownership is becoming such a financial burden that an April survey from Redfin found that some homeowners have had to skip meals, take a second job or sell their belongings to keep up with their mortgage.
The nation’s median asking price on a home — what sellers hope their property goes for — reached a record $420,250 during the four weeks ending May 19, a 6.6% rise from a year ago, according to Redfin.
Record-high home prices and mortgage rates nearing 7% have put a damper on the 2024 home-buying season so far, with many buyers opting to remain renters. Elevated mortgage rates have also caused some homeowners to refrain from placing their property on the market because they would then face paying higher mortgage rates on another property.
