Realtor.com®: A 73.2% Spike in Monthly Payments For Moving Traps U.S. Homeowners in Place

Rhea-AI Summary

Realtor.com (NWS) reports a powerful national "lock-in effect": typical current mortgage holders pay about $1,291 monthly, while buying a median-priced home today would cost roughly $2,236, a 73.2% increase in payments as of Oct 2025. More than one in four mortgages originated in 2020-2021, and only 22.1% of outstanding mortgages originated from 2022 through August 2025. High-priced metros show the largest penalties (San Jose +179.6%, Los Angeles +176.4%); even low-cost metros face meaningful move costs.

Suggested ways to "get unstuck" include renting, downsizing, or relocating until rates or incomes change.

Positive

• National payment gap of 73.2%
• Over 25% of mortgages originated in 2020-2021
• 22.1% of mortgages originated 2022–Aug 2025

Negative

• Typical homeowner faces ~$945 monthly payment increase
• San Jose monthly payment gap 179.6%
• High-priced metros amplify financing burden (Los Angeles 176.4%)

Key Figures

Current typical mortgage payment $1,300 per month Typical U.S. mortgage holder principal and interest

Payment to buy today $2,236 per month Estimated payment for a median-priced home in current market

National payment increase 73.2% Increase from current typical payment to buying today

USA median monthly payment $1,291 Current mortgage holder median monthly payment, USA table

USA median rate 4.0% Current mortgage holder median mortgage rate, USA table

San Jose payment gap 179.6% Increase in estimated monthly payment, San Jose metro

Los Angeles payment gap 176.4% Increase in estimated monthly payment, Los Angeles metro

Portland (Maine) gap 154.8% Increase in estimated monthly payment, Portland–South Portland metro

Market Reality Check

$29.32 Last Close

Volume Volume 640,974 vs 20-day average 743,402 (relative volume 0.86x) shows muted trading. normal

Technical Shares at $29.32, trading below the 200-day MA of $31.85 and 17.59% under the 52-week high.

Peers on Argus

NWS slipped 0.91% with mixed peer moves: NWSA -1.49%, WMG -2.87%, while TKO +0.70%, ROKU +0.82%, and FOXA +0.49%, suggesting stock-specific trading rather than a unified sector move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 03	Housing forecast report	Neutral	+0.1%	2026 housing forecast outlining mortgage, sales, price and listing projections.
Nov 25	New vs existing homes	Neutral	+0.7%	Report on narrowing price and financing gap between new and existing homes.
Nov 24	Luxury market trends	Neutral	-0.5%	Analysis of bifurcated luxury housing markets and differing metro price trends.
Nov 20	Buyer regret survey	Neutral	-1.3%	Survey showing lower buyer remorse and longer days on market in 2025.
Nov 19	Holiday hosting survey	Neutral	-1.5%	Survey on how Thanksgiving hosting needs shape home search preferences.

Pattern Detected

Recent Realtor.com news has led to modest price reactions, with small positive and negative moves and no strong pattern of outsized responses.

Recent Company History

Over the last month, NWS has issued several Realtor.com research pieces on U.S. housing. These include a 2026 Housing Forecast with modestly improving affordability, a report on new-home pricing converging with existing homes, and analyses of luxury-market bifurcation and buyer remorse trends. Price reactions to these housing data releases ranged between roughly -1.49% and +0.69%, indicating that investors have treated them as incremental, macro-oriented updates rather than major company-specific catalysts. Today’s lock-in effect report fits this pattern of data-driven housing commentary.

Market Pulse Summary

This announcement focuses on Realtor.com research showing a 73.2% gap between typical existing mortgage payments and what it costs to buy a median-priced home today, with especially large jumps in high-priced metros. It builds on a series of NWS housing reports covering forecasts, new‑versus‑existing pricing and buyer sentiment. Investors may monitor how this persistent lock-in effect influences listing volumes, advertising demand and future Realtor.com data releases from NWS.

AI-generated analysis. Not financial advice.

A Hefty Financial Penalty for Moving: Nationally, typical current mortgage holders face nearly a $1,000 increase in monthly payments to buy a median-priced home today.

AUSTIN, Texas, Dec. 9, 2025 /PRNewswire/ -- The sizable gap between existing mortgage payments and the cost of buying a home in today's market has created a powerful "lock-in effect" across the nation. The feeling that many homeowners have—that "I couldn't afford to buy my home today"—is validated by a new Realtor.com^® report.

The report finds that today's typical U.S. mortgage holder pays roughly $1,300 in principal and interest a month. However, to purchase a typical home in today's market, it would require a monthly payment of nearly $2,236, or a 73.2% increase in mortgage payments. This financial jump is the foundation of the lock-in effect, contributing to historically low mobility and lean for-sale inventory.

"The lock-in effect isn't just theoretical; it's a significant factor weighing on the decisions of American homeowners," said Realtor.com^® Chief Economist Danielle Hale. "When the average mortgage holder is staring down a $1,000-a-month cost increase just to move, that requires incredible budget flexibility that many households simply cannot manage and others choose not to take on. The ultra-low rates of 2020-2021 have become golden handcuffs, starving many local housing markets of much needed supply."

The foundation of this dilemma lies in the recent history of mortgage rates. Record-low mortgage rates in 2020 and 2021 spurred a boom in purchase and refinance activity, resulting in more than one in four current mortgages dating to those two years alone. Once mortgage rates began climbing in 2022, origination activity collapsed sharply; only 22.1% of outstanding mortgages originated from 2022 through August 2025. As rates and home prices rose, the total cost of financing a home purchase increased sharply, meaning current homeowners who secured those ultra-low rates pay far less each month than new buyers, widening the gap that forms the lock-in effect.

Low-Priced Markets See Smallest Lock-in Effect, But Costs Remain Significant
Even in more affordable markets, housing costs have risen, but the required increase in monthly payments to buy a typical home is smaller than the national average, making mobility more feasible. Markets with the smallest lock-in effects include:

• Pittsburgh, Penn.: Homeowners face a 32.5% increase in monthly payments.
• Baltimore, Md.: The increase is 34.0%.
• Buffalo, N.Y.: The gap stands at 34.8%.

"While low-cost markets offer the smallest penalty for moving, they weren't spared by rising rates, they simply started from a less locked-in position," said Hannah Jones, Senior Economic Research Analyst at Realtor.com^®. "Crucially, many owners in these areas hold higher-rate mortgages, meaning fewer are clinging to those extremely low rates. Their penalty for selling is smaller, but the cost of mobility is still high everywhere."

Lock-in Effect by Metro: Lowest Increase in Monthly Payments
Metro	Current Mortgage Holder Median Monthly Pmt	Current Mortgage Holder Median Rate	Oct 2025 Est. Monthly Pmt	Gap
USA	$1,291	4.0 %	$2,236	73.2 %
Pittsburgh, Pa.	$995	4 %	$1,318	32.5 %
Baltimore-Columbia-Towson, Md.	$1,505	3.9 %	$2,016	34.0 %
Buffalo-Cheektowaga, N.Y.	$1,046	4.3 %	$1,410	34.8 %
Detroit-Warren-Dearborn, Mich.	$997	4.1 %	$1,413	41.6 %
San Antonio-New Braunfels, Texas	$1,209	4.3 %	$1,734	43.4 %
Urban Honolulu, Hawaii	$2,415	3.8 %	$3,473	43.8 %
Toledo, Ohio	$798	4.3 %	$1,149	43.9 %
Akron, Ohio	$874	4.3 %	$1,263	44.5 %
Birmingham, Ala.	$1,075	4.1 %	$1,581	47.0 %
Dayton-Kettering-Beavercreek, Ohio	$902	4.4 %	$1,335	48.0 %

High-Priced Metros are Most Locked-in
In high-priced metros, the financial jump is especially burdensome. Because homes are already expensive, buyers typically rely on larger mortgage balances, which amplifies the impact of rising rates. This has led to dramatic lock-in in markets like:

• San Jose, Calif.: A gap of 179.6% in estimated monthly payments.
• Los Angeles, Calif.: A gap of 176.4%.
• Portland, Maine: A gap of 154.8%.

Lock-in Effect by Metro: Largest Increase in Monthly Payments
Metro	Current Mortgage Holder Median Monthly Pmt	Current Mortgage Holder Median Rate	Oct 2025 Est. Monthly Pmt	Gap
USA	$1,291	4.0 %	$2,236	73.2 %
San Jose-Sunnyvale-Santa Clara, Calif.	$2,604	3.8 %	$7,281	179.6 %
Los Angeles-Long Beach-Anaheim, Calif.	$2,096	3.8 %	$5,792	176.4 %
Portland-South Portland, Maine	$1,297	4.0 %	$3,305	154.8 %
Oxnard-Thousand Oaks-Ventura, Calif.	$2,090	3.8 %	$5,267	151.9 %
Bridgeport-Stamford-Danbury, Conn.	$1,696	3.9 %	$4,214	148.5 %
Boise City, Idaho	$1,331	3.9 %	$3,159	137.3 %
San Diego-Chula Vista-Carlsbad, Calif.	$2,108	3.8 %	$4,886	131.8 %
Boston-Cambridge-Newton, Mass. - N.H.	$1,857	3.8 %	$4,216	127.0 %
Providence-Warwick, R.I. - Mass.	$1,372	3.8 %	$3,070	123.8 %
Salt Lake City-Murray, Utah	$1,393	3.9 %	$3,054	119.2 %

Getting Unstuck
With home prices still well above pre-pandemic levels and mortgage rates high, options for locked-in homeowners to move often involve financial strategy, such as renting their current home out, downsizing, or relocating to a lower cost of living area. Unlocking the housing market will require a combination of easing affordability constraints, such as a sustained decline in mortgage rates, stronger income growth, or slower home-price appreciation, and perhaps most importantly, time.

About Realtor.com^®
Realtor.com^® pioneered online real estate and has been at the forefront for over 25 years, connecting buyers, sellers, and renters with trusted insights, professional guidance and powerful tools to help them find their perfect home. Recognized as the No. 1 site trusted by real estate professionals, Realtor.com^® is a valued partner, delivering 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: Emily Do, press@realtor.com

View original content:https://www.prnewswire.com/news-releases/realtorcom-a-73-2-spike-in-monthly-payments-for-moving-traps-us-homeowners-in-place-302635563.html

SOURCE Realtor.com

FAQ

What did Realtor.com report about homeowner moving costs on Dec 9, 2025 for NWS?

Realtor.com reported a national estimated monthly payment gap of 73.2% as of Oct 2025, implying roughly $2,236 to buy a median home versus $1,291 current.

How many U.S. mortgages dated to 2020-2021 according to Realtor.com (NWS)?

More than one in four outstanding mortgages originated in 2020–2021.

What share of mortgages originated from 2022 through August 2025 in the Realtor.com report?

About 22.1% of outstanding mortgages originated from 2022 through August 2025.

Which metro had the largest lock-in percentage in Realtor.com's Dec 9, 2025 data?

San Jose–Sunnyvale–Santa Clara, Calif. had the largest gap at 179.6%.

How much more would the typical homeowner pay monthly nationally to buy today per Realtor.com?

Nationally, a typical homeowner would pay about $945 more monthly to buy a median-priced home.

What strategies did Realtor.com suggest for homeowners locked in by mortgage rates?

Suggested options include renting the current home, downsizing, or relocating to lower-cost areas.