The factor that could result in some people being priced out of the option to buy a home is:
increase in mortgage interest rates.
Higher mortgage interest rates typically lead to higher monthly payments for borrowers, making homeownership less affordable for many individuals and families.
The other options listed, such as a decrease in average income or decrease in population, could also affect the housing market but do not directly lead to increased prices or decreased affordability in the same way that higher interest rates do. Meanwhile, an increase in the supply of housing generally tends to put downward pressure on home prices, making it more affordable rather than less.
1 answer