The national median payment carried by purchase loan applicants increased in May to $2,211 from $2,186 in April, according to new data from the Mortgage Bankers Association’s (MBA) Purchase Applications Payment Index report. For borrowers applying for lower-payment mortgages (the 25th percentile), the national mortgage payment increased to $1,512 in May from $1,497 in April.
The national median mortgage payment for conventional loan applicants was $2,235, up from $2,206 in April and up from $2,226 in May 2024. The national median mortgage payment for FHA loan applicants was $1,927 in May, up from $1,895 in April and up from $1,924 in May 2024.
“Homebuyer affordability declined in May as mortgage rates near 7% continued to put upward pressure on prospective homebuyers’ budgets,” said Edward Seiler, MBA’s associate vice president of housing economics and executive director of the Research Institute for Housing America. “Despite current affordability constraints, many homebuyers are still eager to enter the housing market. Rising inventory levels and moderating home-price growth have both been bright spots during this year’s spring homebuying season.”
