Lauren Bunting Broker MD & DE

Homebuyer Affordability

Friday, September 08, 2023, Lauren Bunting

The Mortgage Bankers Association (MBA) released their monthly report on homebuyer affordability at the end of August. The news release said July was challenging but mostly unchanged from June, with the national median payment applied for by purchase applicants remaining at $2,162. The figures are pulled from the MBA’s Purchase Applications Payment Index (PAPI), which measures how new monthly mortgage payments vary across time – relative to income – using data from MBA’s Weekly Applications Survey (WAS).

“Prospective homebuyers continued to face challenging conditions in July, with elevated and volatile mortgage rates and low housing inventory serving as a formidable one-two punch that suppressed mortgage applications and sales activity,” said Edward Seiler, MBA’s Associate Vice President, Housing Economics, and Executive Director, Research Institute for Housing America. “With mortgage rates currently above 7 percent and expected to remain above 6 percent by the end of the year, affordability will remain a hurdle for many households looking to buy a home.”

Median earnings were up 3.7 percent compared to one year ago, and while payments increased by 17.2 percent, the strong earnings growth means that the PAPI is up 13.0 percent on an annual basis. For borrowers applying for lower-payment mortgages (the 25th percentile), the national mortgage payment decreased to $1,451 in July from $1,459 in June.

Additional Key Findings of MBA's Purchase Applications Payment Index (PAPI) – July 2023

  •  The national median mortgage payment was $2,162 in July (unchanged from June). It is up $318 from one year ago, equal to a 17.2% increase.
  •  The national median mortgage payment for FHA loan applicants was $1,854 in July, up from $1,824 in June and up from $1,461 in July 2022.
  •  The national median mortgage payment for conventional loan applicants was $2,197, down from $2,205 in June and up from $1,892 in July 2022.
  • The top five states with the highest PAPI were: Idaho (258.7), Nevada (258.1) Arizona (237.0), California (234.0), and Florida (224.1).
  • The top five states with the lowest PAPI were: Connecticut (121.0), Louisiana (125.3), Alaska (128.4), West Virginia (131.2), and New York (136.9).


Lauren Bunting is a Broker with Keller Williams Realty of Delmarva in Ocean City, Maryland.

Go Back

Thank you so much for all of your hard work. We are so excited to move into the perfect house for us, and couldn't have done it without your guidance.

Megan and Brandon Cater

My friend was right, you are the hardest working realtor, bar none. I honestly don't think that I would have gotten through this house selling process without you.

Brenda Burbage

Lauren made first time homebuying extremely approachable, and took the time to educate me on everything involved in the process.

Amanda Hanke and Keri Swigert

Thank you for all of your hard work and dedication that made this purchase possible. You advocate for your clients and I highly regard you for it. You made it possible for me and my family to achieve our goal of homeownership.

Tom Harutyunyan

Thank you so much for the very wonderful, professional job you did with selling our property. You will always be special to me.

Penny Carley

We want to say a sincere "Thank You" for all you've done for us! We know at times the road seemed never ending. Thank you for always staying positive even through our ups and downs of this process. We appreciate all you do!

Mike and Patty Locke

Lauren's extensive knowledge of the local real estate market proved to be invaluable during the purchase of our first home.

Allison Shockley and Patrick Molloy

Lauren is very easy to work with. She has helped me sell and buy homes in the area and has always been hard working and professional.

Jennifer K. Leggour

Lauren went through tremendous lengths to look out for us every step of the way all the way to the very end. If you are in need of a real estate agent who will treat your transaction as if it were their own and provide you with nothing less than A+ service you will be in good hands with Lauren.

Shireen and Mark Ambush

We were referred to Lauren by a good friend, and we couldn’t have been placed in better hands. Lauren went above and beyond in every way, throughout the entire process.

Liz Young

Lauren Bunting was our realtor when we recently sold two homes- one in Maryland and the other one in Delaware. To say we were very satisfied with all she did for us is an understatement!

Janet and Bruce Lathbury

Read Full Testimonials

MLS Disclaimer


Top
Contact Me
Realtor logo   Equal Housing Opportunity logo