Housing Market Havoc: An Attenborough Analysis of Affordability

A Land of Opportunity? More Like a Land of Overpriced Estates!

Ah the housing market! A landscape as treacherous and unpredictable as the Amazon rainforest. Remember "the question is are we happy to suppose that our grandchildren may never be able to see an elephant except in a picture book?" Well now we must ask will they ever afford a house? Ever since the pandemic prices have soared like a startled flock of starlings leaving many would be homeowners stranded in the undergrowth. The S & P CoreLogic Case Shiller Index tells us that prices in March are a whopping 39% higher than pre pandemic times! It's enough to make a blue whale weep. The good news if you can call it that is that the supply crunch is easing but only for those with pockets as deep as the Mariana Trench. It appears the common man might be headed towards extinction!

The Great Divide: Affordability's Grand Canyon

Our friends at the National Association of Realtors and Realtor.com have bravely ventured into this economic jungle armed with data and spreadsheets. What they've discovered is a stark divide a chasm as wide as the Serengeti. If you earn between $75,000 and $100,000 you might find a slightly larger watering hole of available homes. A whole 21.2% of listings are within reach! But back in 2019 a glorious 48.8% were within your grasp. It's like watching a herd of wildebeest dwindle before your very eyes. Meanwhile those earning below $75,000 are practically invisible to the market. Just 8.7% of listings are affordable to them. One shudders to think what our future generations might miss out on because after all "it is not the scope of understanding that draws us to science and art but the emotion which can seize one the sensation of awe." And at these housing prices awe is definitely one of the emotions!

The Rich Get Richer (And Buy All the Houses)

At the top of the food chain those earning $250,000 or more survey their kingdom. A vast 80% of the housing market is theirs for the taking! They roam freely like lions in their natural habitat while the rest of us scramble for scraps. Danielle Hale chief economist at Realtor.com notes that while there are more homes for sale they are not necessarily affordable. It's like offering a starving man a banquet he cannot reach. This is a clear indication that the struggle is far from over there is still much to explore in this changing landscape because "an understanding of the natural world and what's in it is a source of not only a great curiosity but great fulfillment."

Midwest Miracle? A Glimmer of Hope in the Heartland

But fear not for there is still hope! In the American Midwest cities like Akron St. Louis and Pittsburgh offer a balanced ecosystem where supply meets demand. It’s a veritable oasis in this desert of inflated prices. Other cities such as Raleigh Des Moines and Grand Rapids are making valiant strides. "The World is not going to come to an end" they seem to say "but how we live on it will." However let us not be fooled. Over 40% of the nation's largest metropolitan areas including Seattle and Washington D.C. remain trapped in the grip of unaffordability.

Cooling Trends: A Breath of Fresh Air (For Some)

Markets like Austin San Francisco and Denver once overheated like a sun baked savannah are finally cooling down. The supply of affordable homes has increased surpassing pre pandemic levels. It's a sign that even the most challenging environments can be tamed with the right approach. Perhaps just perhaps "no one will protect what they don't care about and no one will care about what they have never experienced." so it's time to start exploring the affordable options out there.

Southern Discomfort: The Plot Thickens in the South

Alas not all is well. Southern California markets like Los Angeles and San Diego along with New York City are sinking deeper into the quicksand of unaffordability. Decades of underbuilding limited land high costs and restrictive zoning laws are to blame. Even our diligent homebuilders are struggling their efforts hampered by tariffs and immigration policies. Single family housing starts are down nearly 10% from last year. One can only hope that humanity will step up to save itself because "we are after all the greatest ploem on Earth".