Buying a Median-Priced Home Would Cost Typical Mortgage Holders About $1,100 More a Month

At the modeled 7.32% mortgage rate, 44.5% of U.S. households could afford the median-priced home.

Rhea-AI Summary

Realtor.com published research estimating that buying a median-priced home would cost typical U.S. mortgage holders about $1,100 more each month.

At a modeled 7.32% mortgage rate, estimated monthly principal and interest would rise from $1,332 to $2,468, an 85.3% increase, excluding property taxes and insurance. The calculation uses September 2026's $419,250 median listing price and a 14.3% down payment. The typical outstanding mortgage carries a rate of about 4.0%.

Buying would more than double current payments in roughly one-third of the 100 largest metros. Portland, Maine, has the largest percentage gap at 167.0%; Pittsburgh has the smallest at 43.3%. At a hypothetical 6.0% rate, the estimated national payment would be $2,154, still 61.7% above the typical current payment. Realtor.com said lower rates alone would not erase the affordability gap.

News Explained

In Realtor.com’s model, 44.5% of U.S. households could afford the median-priced home at a 7.32% mortgage rate; the modeled share rises to 48.0% at 6.5%, 50.2% at 6.0%, and 54.8% at 5.0%.

Key Figures

Estimated monthly payment: $1,332 to $2,468 (+85.3%) Mortgage rate used: 7.32% Households able to afford median-priced home: 44.5% at 7.32%; 50.2% at 6.0% +1 more

Estimated monthly payment

$1,332 to $2,468 (+85.3%)

Typical U.S. mortgage holder versus modeled purchase at 7.32%

Mortgage rate used

7.32%

Rate assumed for the estimated purchase payment

Households able to afford median-priced home

44.5% at 7.32%; 50.2% at 6.0%

Modeled affordability scenarios

Estimated payment at 6.0%

$2,154; 61.7% higher

Compared with the typical current mortgage-holder payment

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Higher mortgage rates and home prices push the estimated principal-and-interest payment 85.3% above what today's typical mortgage holder pays 

AUSTIN, Texas, Nov. 11, 2026 /PRNewswire/ -- Higher mortgage rates and elevated home prices have sharply raised the cost of buying a home: the typical U.S. mortgage holder would need about $1,100 more each month than they currently pay in principal and interest to buy a median-priced home at a 7.32% rate, according to a new Realtor.com^® report. The estimated payment would climb from $1,332 to $2,468, an 85.3% increase that translates to a 15.6 percentage-point rise in the share of income the typical U.S. household spends on housing. (For local data see full table below)

The typical outstanding mortgage carries a rate of about 4.0%, well below the 7.32% rate used to estimate the cost of buying today. Buyers today face a substantial affordability hurdle due to both rising home prices and mortgage rates since many existing loans originated. In roughly one-third of the 100 largest metros, buying a median-priced home would more than double the typical mortgage holder's current monthly principal-and-interest payment.

"Home sales have been stuck for several years, and this research helps illuminate one of the major friction points for today's homeowners who might like to move.  Together, home prices and mortgage rates have drastically changed what it takes to buy a home," said Danielle Hale, chief economist at Realtor.com^®. "For the typical mortgage holder, buying a home at today's median-price and current rates would mean finding about $1,100 more each month for principal and interest, before property taxes and insurance. Lower rates would help, but even at 6%, the typical payment would still be more than 60% higher. For many families, that is money they simply don't have to spare."

The size of that payment increase varies dramatically across the country. Portland, Maine, San Jose and Los Angeles have the steepest percentage increases, while Pittsburgh, Baltimore and Buffalo have the smallest.

High-Priced Metros with Lower Outstanding Mortgage Rates are Most Locked-in

Portland, Maine, leads the country in the percentage increase current mortgage holders would face to buy a median-priced home. The estimated monthly principal-and-interest payment would rise from $1,270 to $3,392, a 167.0% increase. That puts Portland ahead of even some of California's most expensive markets in the size of the jump relative to what existing mortgage holders pay.

In San Jose, the estimated payment to buy reaches $7,039 a month, compared with $2,659 for the typical current mortgage holder—a 164.8% increase. That new payment assumes a typical down payment of 26.2%, underscoring how high home prices keep financing costs elevated even when buyers put down a substantial share of the purchase price. In Los Angeles, the estimated payment rises from $2,149 to $5,628, an increase of 161.9%.

Oxnard, Calif., and Albany, N.Y., round out the five markets with the largest percentage increases. In each, the estimated payment to buy is more than 140% higher than what the typical current mortgage holder pays.

In expensive markets, larger mortgage balances amplify the impact of higher borrowing costs. A homeowner moving from an older, lower-rate loan to a new mortgage can face a steep payment increase, making it harder to move within the same market. Those higher purchase payments also raise the hurdle for first-time buyers. 

Most Locked-in Housing Markets

Metro	Current Mortgage Holder Median Monthly Pmt	Current Mortgage Holder Median Rate	Sept 2026 Typical Down Payment Share	Sept 2026 Est. Monthly Pmt	Gap
USA	$1,332	4.0 %	14.3 %	$2,468	85.3 %
Portland-South Portland, ME	$1,270	4.0 %	21.0 %	$3,392	167.0 %
San Jose-Sunnyvale- Santa Clara, CA	$2,659	3.6 %	26.2 %	$7,039	164.8 %
Los Angeles-Long Beach-Anaheim, CA	$2,149	3.8 %	20.8 %	$5,628	161.9 %
Oxnard-Thousand Oaks- Ventura, CA	$2,140	3.8 %	18.7 %	$5,261	145.9 %
Albany-Schenectady- Troy, NY	$1,024	3.9 %	14.8 %	$2,458	140.2 %
Bridgeport-Stamford- Danbury, CT	$1,722	3.9 %	23.0 %	$4,105	138.4 %
Providence-Warwick, RI- MA	$1,381	3.9 %	16.3 %	$3,274	137.1 %
Kiryas Joel- Poughkeepsie- Newburgh, NY	$1,422	4.3 %	14.7 %	$3,322	133.6 %
Boise City, ID	$1,433	3.9 %	20.2 %	$3,343	133.4 %
Worcester, MA	$1,439	4.0 %	12.9 %	$3,290	128.7 %

Low-priced, Accessible Markets See Smallest Lock-in Effect

Pittsburgh has the smallest payment increase among the 100 largest metros, but buying still requires a meaningful step up in monthly spending. The estimated principal-and-interest payment on a median-priced home is $1,441, compared with $1,005 for the typical current mortgage holder—a 43.3% increase. Baltimore follows at 45.0%, and Buffalo at 46.1%.

Lower housing costs help these markets keep the payment gap smaller. Many more affordable metros also entered the current cycle with higher outstanding mortgage rates, reflecting a less intense pandemic buying boom, fewer refinances or steadier sales activity in the higher-rate environment. With less distance between an existing mortgage rate and a new one, homeowners face a smaller financial penalty for moving.

"More affordable markets offer homeowners a smaller payment jump, not an escape from higher costs," said Hannah Jones, senior economist at Realtor.com^®. "The estimated increase is about 43% in Pittsburgh versus 165% in San Jose. Lower home prices and, in many markets, higher rates on existing loans help narrow that gap, making a move more attainable."

San Antonio shows how falling home prices can also reduce the hurdle. Its median listing price was $320,374 in September, down 2.9% from a year earlier and 16.2% below its mid-2022 peak. Prices have declined year over year for more than three years, helping keep the payment increase among the country's smallest. The estimated payment to buy is $2,053, or 60.8% above the typical current mortgage-holder payment of $1,277.
 

Least Locked-in Housing Markets

Metro	Current Mortgage Holder Median Monthly Pmt	Current Mortgage Holder Median Rate	Sept 2026 Typical Down Payment Share	Sept 2026 Est. Monthly Pmt	Gap
USA	$1,332	4.0 %	14.3 %	$2,468	85.3 %
Pittsburgh, PA	$1,005	4.1 %	14.4 %	$1,441	43.3 %
Baltimore-Columbia-Towson, MD	$1,522	3.9 %	14.3 %	$2,208	45.0 %
Buffalo-Cheektowaga, NY	$1,060	4.4 %	15.7 %	$1,549	46.1 %
New Orleans-Metairie, LA	$1,119	4.1 %	12.8 %	$1,719	53.6 %
Detroit-Warren-Dearborn, MI	$1,016	4.1 %	14.8 %	$1,609	58.4 %
Birmingham, AL	$1,107	4.1 %	11.8 %	$1,757	58.7 %
San Antonio-New Braunfels, TX	$1,277	4.4 %	6.7 %	$2,053	60.8 %
Akron, OH	$868	4.3 %	12.5 %	$1,405	61.8 %
McAllen-Edinburg-Mission, TX	$1,037	4.8 %	5.5 %	$1,680	61.9 %
Philadelphia-Camden- Wilmington, PA-NJ-DE-MD	$1,304	4.0 %	17.6 %	$2,122	62.8 %

How Low Do Mortgage Rates Need to Go to Unlock the Market?

Lower rates would improve buying power, but a meaningful payment gap would remain. At the September median listing price of $419,250 and a 14.3% down payment, each half-percentage-point decline in the mortgage rate lowers the estimated monthly payment by roughly $110 to $120 and trims the gap with current mortgage holders' payments by about 8 to 9 percentage points.

At the modeled 7.32% rate, 44.5% of U.S. households could afford the median-priced home. A decline to 6.5% would raise that share to 48.0%. Rates would need to fall to about 6.0% for just over half of households—50.2%—to afford that home. Even then, the estimated monthly payment would be $2,154, still 61.7% higher than the typical current mortgage-holder payment.

A decline to 5.0% would bring the estimated payment to $1,929 and put the median-priced home within reach of 54.8% of households. Even a return to the roughly 4.0% rate on the typical outstanding mortgage would leave the payment about 29% higher than what the typical current mortgage holder pays, because home prices have risen since many existing loans originated.

"Lower rates alone would not erase the affordability gap," said Jones. "Slower home-price growth and rising incomes would also help narrow the difference between what households pay now and what it would take to buy."

100 Largest Metros:

	Current Mortgage Holder Median Monthly Pmt	Current Mortgage Holder Median Rate	Sept 2026 Typical Down Payment Share	Sept. 2026 Est. Monthly Pmt	Gap
USA	$1,332	4.0 %	14.3 %	$2,468	85.3 %
Akron, OH	$868	4.3 %	12.5 %	$1,405	61.8 %
Albany-Schenectady-Troy, NY	$1,024	3.9 %	14.8 %	$2,458	140.2 %
Albuquerque, NM	$1,153	4.3 %	10.6 %	$2,522	118.7 %
Allentown-Bethlehem-Easton, PA-NJ	$1,106	4.1 %	16.2 %	$2,373	114.6 %
Atlanta-Sandy Springs-Roswell, GA	$1,319	4.1 %	12.4 %	$2,497	89.3 %
Augusta-Richmond County, GA- SC	$1,105	4.4 %	6.6 %	$2,020	82.8 %
Austin-Round Rock-San Marcos, TX	$1,586	4.0 %	13.8 %	$2,644	66.7 %
Bakersfield-Delano, CA	$1,306	4.0 %	10.6 %	$2,435	86.5 %
Baltimore-Columbia-Towson, MD	$1,522	3.9 %	14.3 %	$2,208	45.0 %
Baton Rouge, LA	$1,087	4.1 %	8.3 %	$1,879	72.9 %
Birmingham, AL	$1,107	4.1 %	11.8 %	$1,757	58.7 %
Boise City, ID	$1,433	3.9 %	20.2 %	$3,343	133.4 %
Boston-Cambridge-Newton, MA- NH	$1,852	3.8 %	21.6 %	$4,226	128.2 %
Bridgeport-Stamford-Danbury, CT	$1,722	3.9 %	23.0 %	$4,105	138.4 %
Buffalo-Cheektowaga, NY	$1,060	4.4 %	15.7 %	$1,549	46.1 %
Cape Coral-Fort Myers, FL	$1,238	4.4 %	12.7 %	$2,278	84.1 %
Charleston-North Charleston, SC	$1,433	4.1 %	13.3 %	$2,855	99.2 %
Charlotte-Concord-Gastonia, NC-SC	$1,330	4.1 %	15.3 %	$2,472	85.9 %
Chattanooga, TN-GA	$1,123	4.3 %	14.7 %	$2,315	106.2 %
Chicago-Naperville-Elgin, IL-IN	$1,289	4.0 %	16.2 %	$2,242	74.0 %
Cincinnati, OH-KY-IN	$1,016	4.3 %	15.4 %	$2,017	98.4 %
Cleveland, OH	$905	4.3 %	12.6 %	$1,560	72.4 %
Colorado Springs, CO	$1,612	3.9 %	12.6 %	$2,912	80.6 %
Columbia, SC	$1,085	4.3 %	9.1 %	$1,872	72.5 %
Columbus, OH	$1,114	4.1 %	13.7 %	$2,223	99.6 %
Dallas-Fort Worth-Arlington, TX	$1,463	4.3 %	12.4 %	$2,542	73.8 %
Dayton-Kettering-Beavercreek, OH	$898	4.4 %	10.6 %	$1,501	67.1 %
Deltona-Daytona Beach-Ormond Beach, FL	$1,182	4.4 %	16.1 %	$2,161	82.8 %
Denver-Aurora-Centennial, CO	$1,756	3.9 %	17.2 %	$3,241	84.6 %
Des Moines-West Des Moines, IA	$1,048	4.0 %	15.3 %	$1,978	88.8 %
Detroit-Warren-Dearborn, MI	$1,016	4.1 %	14.8 %	$1,609	58.4 %
Durham-Chapel Hill, NC	$1,427	3.9 %	18.1 %	$2,589	81.3 %
El Paso, TX	$950	4.5 %	7.4 %	$2,004	110.8 %
Fresno, CA	$1,397	4.0 %	11.7 %	$2,848	103.9 %
Grand Rapids-Wyoming- Kentwood, MI	$1,117	4.3 %	15.7 %	$2,316	107.4 %
Greensboro-High Point, NC	$1,040	4.1 %	13.8 %	$1,936	86.2 %
Greenville-Anderson-Greer, SC	$1,090	4.3 %	14.0 %	$2,259	107.3 %
Harrisburg-Carlisle, PA	$1,004	4.0 %	13.7 %	$1,938	92.9 %
Hartford-West Hartford-East Hartford, CT	$1,193	4.0 %	18.8 %	$2,509	110.4 %
Houston-Pasadena-The Woodlands, TX	$1,332	4.3 %	10.6 %	$2,174	63.3 %
Indianapolis-Carmel-Greenwood, IN	$1,105	4.3 %	12.8 %	$1,857	68.1 %
Jackson, MS	$1,026	4.3 %	9.6 %	$1,738	69.4 %
Jacksonville, FL	$1,343	4.3 %	12.4 %	$2,281	69.8 %
Kansas City, MO-KS	$1,150	4.1 %	14.8 %	$2,282	98.5 %
Kiryas Joel-Poughkeepsie- Newburgh, NY	$1,422	4.3 %	14.7 %	$3,322	133.6 %
Knoxville, TN	$1,236	4.5 %	13.1 %	$2,668	115.8 %
Lakeland-Winter Haven, FL	$1,208	4.5 %	8.8 %	$2,061	70.7 %
Las Vegas-Henderson-North Las Vegas, NV	$1,452	4.1 %	14.2 %	$2,740	88.7 %
Little Rock-North Little Rock- Conway, AR	$976	4.3 %	12.4 %	$1,775	81.9 %
Los Angeles-Long Beach- Anaheim, CA	$2,149	3.8 %	20.8 %	$5,628	161.9 %
Louisville/Jefferson County, KY- IN	$1,040	4.1 %	13.3 %	$1,858	78.7 %
Madison, WI	$1,275	3.8 %	21.4 %	$2,535	98.8 %
McAllen-Edinburg-Mission, TX	$1,037	4.8 %	5.5 %	$1,680	61.9 %
Memphis, TN-MS-AR	$1,093	4.3 %	8.9 %	$1,877	71.8 %
Miami-Fort Lauderdale-West Palm Beach, FL	$1,456	4.1 %	16.7 %	$2,804	92.6 %
Milwaukee-Waukesha, WI	$1,175	3.9 %	18.4 %	$2,239	90.5 %
Minneapolis-St. Paul- Bloomington, MN-WI	$1,348	3.9 %	16.7 %	$2,332	72.9 %
Nashville-Davidson-- Murfreesboro--Franklin, TN	$1,408	4.1 %	16.8 %	$3,052	116.8 %
New Haven, CT	$1,239	4.0 %	17.6 %	$2,406	94.1 %
New Orleans-Metairie, LA	$1,119	4.1 %	12.8 %	$1,719	53.6 %
New York-Newark-Jersey City, NY-NJ	$1,911	4.0 %	21.8 %	$3,986	108.5 %
North Port-Bradenton-Sarasota, FL	$1,428	4.3 %	18.1 %	$2,574	80.2 %
Oklahoma City, OK	$1,058	4.3 %	12.4 %	$1,880	77.7 %
Omaha, NE-IA	$1,092	4.0 %	14.1 %	$2,298	110.5 %
Orlando-Kissimmee-Sanford, FL	$1,317	4.3 %	14.0 %	$2,422	84.0 %
Oxnard-Thousand Oaks- Ventura, CA	$2,140	3.8 %	18.7 %	$5,261	145.9 %
Palm Bay-Melbourne-Titusville, FL	$1,291	4.4 %	13.7 %	$2,192	69.8 %
Philadelphia-Camden- Wilmington, PA-NJ-DE-MD	$1,304	4.0 %	17.6 %	$2,122	62.8 %
Phoenix-Mesa-Chandler, AZ	$1,424	4.0 %	13.1 %	$2,835	99.1 %
Pittsburgh, PA	$1,005	4.1 %	14.4 %	$1,441	43.3 %
Port St. Lucie, FL	$1,248	4.3 %	15.1 %	$2,502	100.4 %
Portland-South Portland, ME	$1,270	4.0 %	21.0 %	$3,392	167.0 %
Portland-Vancouver-Hillsboro, OR-WA	$1,651	3.9 %	19.9 %	$3,234	95.9 %
Providence-Warwick, RI-MA	$1,381	3.9 %	16.3 %	$3,274	137.1 %
Raleigh-Cary, NC	$1,426	4.0 %	16.9 %	$2,540	78.2 %
Richmond, VA	$1,339	4.0 %	13.6 %	$2,611	95.0 %
Riverside-San Bernardino- Ontario, CA	$1,639	3.9 %	11.4 %	$3,560	117.2 %
Rochester, NY	$880	4.3 %	16.5 %	$1,711	94.4 %
Sacramento-Roseville-Folsom, CA	$1,679	3.8 %	18.7 %	$3,351	99.5 %
Salt Lake City-Murray, UT	$1,534	3.8 %	14.2 %	$3,330	117.1 %
San Antonio-New Braunfels, TX	$1,277	4.4 %	6.7 %	$2,053	60.8 %
San Diego-Chula Vista- Carlsbad, CA	$2,177	3.6 %	20.9 %	$4,828	121.8 %
San Francisco-Oakland- Fremont, CA	$2,471	3.8 %	25.4 %	$4,907	98.6 %
San Jose-Sunnyvale-Santa Clara, CA	$2,659	3.6 %	26.2 %	$7,039	164.8 %
Scranton--Wilkes-Barre, PA	$816	4.3 %	8.5 %	$1,706	109.1 %
Seattle-Tacoma-Bellevue, WA	$1,960	3.9 %	19.6 %	$4,142	111.3 %
Spokane-Spokane Valley, WA	$1,368	4.0 %	17.7 %	$2,702	97.5 %
St. Louis, MO-IL	$1,012	4.0 %	13.0 %	$1,709	68.8 %
Stockton-Lodi, CA	$1,642	3.9 %	16.4 %	$3,360	104.6 %
Syracuse, NY	$837	4.3 %	14.1 %	$1,799	115.0 %
Tampa-St. Petersburg- Clearwater, FL	$1,286	4.3 %	13.0 %	$2,303	79.1 %
Toledo, OH	$797	4.3 %	12.7 %	$1,317	65.3 %
Tucson, AZ	$1,314	4.3 %	12.0 %	$2,252	71.4 %
Tulsa, OK	$1,066	4.4 %	12.0 %	$1,992	86.8 %
Urban Honolulu, HI	$2,395	3.8 %	13.5 %	$4,011	67.4 %
Virginia Beach-Chesapeake- Norfolk, VA-NC	$1,353	4.0 %	9.7 %	$2,667	97.1 %
Washington-Arlington- Alexandria, DC-VA-MD-WV	$1,907	3.8 %	15.8 %	$3,309	73.5 %
Wichita, KS	$866	4.3 %	9.6 %	$1,708	97.2 %
Winston-Salem, NC	$1,030	4.3 %	12.6 %	$2,011	95.3 %
Worcester, MA	$1,439	4.0 %	12.9 %	$3,290	128.7 %

Methodology
Current mortgage payments are estimated from fixed-rate, owner-occupied purchase and refinance loans originated since 2013, weighted to match the number of outstanding mortgages by loan age. The estimated payment to buy is based on each area's September 2026 median listing price, a 30-year fixed-rate mortgage, the area's median down-payment share (14.3% nationally) and a 7.32% mortgage rate, the Freddie Mac average as of October 22, 2026. The share of households able to afford a median-priced home assumes principal and interest are no more than 30% of household income. Payments exclude property taxes and insurance.

About Realtor.com^®
For over 30 years, Realtor.com^® has connected buyers, sellers, and renters with trusted insights, professional guidance and powerful tools to help them find their perfect home. Recognized as the No. 1 real estate site REALTOR® agents recommend, Realtor.com® delivers consumer connections and a robust suite of marketing tools to support business growth. Realtor.com^® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc.

Media Contact: Mallory Micetich, press@realtor.com

View original content:https://www.prnewswire.com/news-releases/buying-a-median-priced-home-would-cost-typical-mortgage-holders-about-1-100-more-a-month-302935597.html

SOURCE Realtor.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How much more would buying a median-priced home cost typical mortgage holders in Realtor.com's study?

The estimated monthly principal-and-interest payment would be $2,468 versus $1,332 for the typical current mortgage holder, an 85.3% increase. The purchase estimate uses a 7.32% mortgage rate, September 2026's median listing price of $419,250 and a 14.3% down payment. Property taxes and insurance are excluded.

Would a 6% mortgage rate close the affordability gap in Realtor.com's study?

No. At a 6.0% rate, the estimated monthly principal-and-interest payment would be $2,154, still 61.7% higher than the typical current mortgage-holder payment. That rate would put the median-priced home within reach of 50.2% of U.S. households.