By Sarah Hansen | 29 April 2022
MONEY — The typical mortgage payment in the U.S. is $664 more expensive compared to a year ago — an increase of nearly 40%.
That’s thanks to higher home prices and rising mortgage rates, which together are pushing monthly payments upward at the fastest rate ever recorded by the real estate firm Redfin.
Data released Thursday by Redfin shows that the typical homebuyer’s monthly mortgage payment has spiked 39% compared to a year ago. For the four weeks ending on April 24, Redfin found that the monthly mortgage payment on a home with the median asking price of $404,950 was $2,349. That calculation is based on the average rate on a 30-year fixed-rate mortgage, which is now 5.1%.
A year ago, when rates were just shy of 3% and the median home asking price was 16% cheaper, the typical mortgage payment was $1,685. That’s an enormous difference ($664) in just one year and the biggest ever spike in Redfin’s data, which dates back to 2015. […]