The American Dream Is Unobtainable For Aspiring Homeowners

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The American dream is becoming more and more out of reach for the vast majority of aspiring homeowners, who say they simply can’t afford it.

A new survey released by Bankrate Wednesday found 78% of would-be homebuyers cited financial factors when asked what is holding them back from making a purchase.

The most common challenges cited by respondents were insufficient income (56%), followed by home prices being too high (47%) and the inability to afford down payments and closing costs (42%).

“Owning a home is still the centerpiece of the American dream, but affordability is the main obstacle to making that a reality,” says Greg McBride CFA, Bankrate’s chief financial analyst.

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These findings come as a housing affordability crisis in the U.S. continues to escalate and become more taxing on the American people.

As mortgage rates topped 7% last week for the first time this year, a separate report from Redfin found that the combination of steep mortgage rates and elevated home prices has pushed the median monthly housing payment to a new record of $2,775, an 11% increase from the same time last year.

The high costs have made homeownership impossible for many Americans and have left the housing market stalled for months as many aspiring buyers and sellers wait for affordability to improve.