U.S. Housing Market Now Among Most Unaffordable in History Under Trump, Data Shows

Feb 16, 2026

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The U.S. housing market is now widely cited as among the most unaffordable in history, keeping homeownership out of reach for many Americans at a time when prices and borrowing costs remain high.

Across the country, housing has grown costlier faster than incomes, pushing buyers into an affordability crunch they haven’t seen in decades.

Data from real estate analytics firms showed that in late 2025, virtually 99 % of U.S. counties had homes that were less affordable than their historical averages, with typical ownership costs consuming a growing share of wages.

Meanwhile, a Bankrate analysis found more than 75 % of homes on the market were unaffordable to a median-income household under standard affordability measures.

Housing experts point to elevated mortgage rates far above the record lows seen earlier in the decade, combined with home prices that have outpaced wage growth, as key drivers of the squeeze.

“Homeownership has probably never been as hard to achieve as it is today,” said real-estate CEO Sean Dobson, noting affordability challenges even compared with past market peaks.

Policy analysts also warn that federal spending cuts to rental assistance and tariffs on construction materials — priorities of the current administration and congressional allies — could reduce supply and worsen cost pressures for buyers and renters alike.

For many would-be buyers, rising monthly payments and down-payment hurdles mean delaying purchases, contributing to slower home sales and a market imbalance between supply and demand.

Home affordability will remain a central economic issue through 2026 as policymakers and markets watch prices, borrowing costs, and housing supply trends. What happens next may hinge on interest rates and federal housing support decisions.

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