In the third quarter of 2021, renter house-buying power rose 14 percent year-over-year, from $290,000 to $331,000.
“Yet, despite the increase in house-buying power, annual house price appreciation hit record levels in 2021 and eroded affordability.
In the third quarter of 2021, Buffalo, N.Y., had the greatest share of affordable homes available.
The least affordable market was Los Angeles, where the median renter could afford only 5 percent of the homes for sale.
“Mortgage rates are expected to increase by the end of the year, which will dampen house-buying power, all else held equal,” Potapov said.