Despite economic fluctuations and high interest rates, homeownership remains a key part of the American dream. According to Bankrate’s 2025 Home Affordability Survey, 82% of Americans view owning a home as more important than retiring, having a successful career or even owning a car. However, affordability challenges continue to stand in the way for many would-be buyers, especially with home prices reaching new peaks.
“Home prices have been at record highs in many markets, and we really haven’t seen much in the way of pullback,” said Greg McBride, chief financial analyst at Bankrate.
Still, there are signs of hope.
While many Americans say they’d make sacrifices like relocating or buying fixer-uppers to afford a home, recent declines in mortgage rates — now averaging under 7% — could offer some relief. With more buyers entering the market, this spring’s homebuying season is shaping up to be stronger than last year’s.
