Senate Has Passed What Could Be the Largest Housing Package in Decades

@#1 ... including a provision that would bar institutional investors from owning single-family homes. ...

I see that around here.

Private equity (which has, imo, destroyed healthcare for their profits) seems to be buying up single-family homes in order to rent those homes out to Gen-Z.

There's a two-fold effect in that process...

1) a reduction of single-family homes that can be purchased by first-time home-buyers.

2) the resulting drastic increase in price of those fewer available homes that can be purchased.

Yeah, while the estimated resale price of my house has increased over 75% since 2020, I still have a concern for those who want to buy their first home.

I bought my first home when I was in my late-20's.

Is that possible nowadays?

@#3 ... How's that supposed to help?

There's literally millions of vacant houses in the United States right now. ...

At what cost to purchase compared to income of first-time home buyers? Maybe the asking price is a problem?

When I bought my house. the mortgage amount (with a 15% down payment) was between two- and three-times my household income.

What is the mortgage amount compared to household income nowadays?

Found this ...

Home Price-to-Income Ratio Reaches Record High (January 2024)
www.jchs.harvard.edu

... In 2022, the median sale price for a single-family home in the US was 5.6 times higher than the median household income, higher than at any point on record dating back to the early 1970s. ...

As the interactive shows, home prices have soared relative to incomes in a growing number of metro areas. Indeed, among the 100 largest markets in the country, 48 had a price-to-income ratio exceeding 5.0 in 2022, including seven markets with a price-to-income ratio above 8.0.

By comparison, 15 markets had price-to-income ratios above 5.0 as recently as 2019 and just five markets had ratios that high in 2000 (Figure 2). With the rapid rise in prices since the beginning of the pandemic, price-to-income ratios have reached all-time highs in 78 of the nation's 100 largest markets.

Only Syracuse had a price-to-income ratio under 3.0 among large markets in 2022. Price-to-income ratios that low were the norm across much of the country in prior decades.

Indeed, fully two-thirds of large markets had price-to-income ratios below
3.0 as recently as 2000. ...

@#6 ... Private equity did the same thing here, dramatically raising single family home prices ... for renters too. ...

So I ask again...

I bought my first home when I was in my late-20's.

Is that possible nowadays?

@#10 ... benefited from the $0 down, first time home buyer loan, ...

I traveled he 15% down route.

At the time (late 1970's) the mortgage interest rate I had to pay was 12%.