Nationwide, just 38% of non-homeowner households could afford the avg. $200K starter home, while median non-homeowner income fell $7.1K short of needed earnings.
An analyst said first-time buyers in costly markets had little flexibility, and relocation could create options for households able to use remote work.
The clearest guidance for brokers was expectation-setting: treat a first home as a starting point to build equity, not necessarily a forever fit.
On the broader market, buyer hesitation reflected confidence as much as borrowing costs, with job-market uncertainty making households less ready to enter homeownership.
Near-term planning remained essential: buyers and brokers were advised to expect a challenging market ahead, especially on pricing and mortgage conditions nationally.
