Mortgage Payment Costs Rise 45 Percent This Year, Worsening Home Affordability

If the Fed keeps raising rates, mortgage payments for a typical home will be $800 per month more, according to an estimate

Homes stand in a Brooklyn neighborhood with a limited supply of single-family homes for sale in New York on March 31, 2021. Spencer Platt/Getty Images

The monthly mortgage payment for a typical home in the United States for new buyers has climbed by 45 percent or about $600 more than the previous year, according to the estimates by the National Association of Realtors (NAR).

In April, the average monthly mortgage payment for a single-family home increased to $1,900, based on a median home value of $391,200 with a 10 percent down payment and a 5 percent 30-year mortgage rate, according to an analysis by Gay Cororaton, NAR’s senior economist.