Redfin says US housing costs could return to August 2018 “normal” within five years under lower mortgage-rate scenario
RKT•RKT•RKT•RKT•Redfin estimates housing affordability could return to August 2018 levels by November 2031 if mortgage rates fall to 6% and home-price growth stays at 2.1%; other scenarios put normalization in April 2032 or more than 10 years away in many metros.
Redfin’s analysis estimates that housing costs could return to August 2018 affordability levels by November 2031 if mortgage rates fall to 6% and home-price growth remains at 2.1%. If rates stay near 7.5% and prices are flat, the estimate is April 2032; if rates remain at 7%-8% and prices grow 2.1%, normalization could take more than 10 years in many metros. San Jose, Austin and Oakland rank closest to normalizing, while parts of the Northeast and Midwest face the longest timelines.
