June 22, 2026
WSMH2 recently published an article featuring Keith Munsell, Master Lecturer of Strategy and Innovation, discussing why elevated home prices, high mortgage rates, and rising ownership costs are pushing more Americans toward renting and reshaping the housing market.
A shortage of affordable single-family homes, combined with soaring property taxes, higher insurance premiums, and increased maintenance costs has made homeownership financially out of reach for many. The average annual cost of owning and maintaining a typical single-family home climbed to $21,400 in 2025, adding significant monthly costs for new buyers.
“It is simply a reality that it is less money out of pocket to rent a comparable unit than it is to purchase that unit. It is out of sync,” Munsell adds.
Elevated borrowing costs and limited supply are particularly challenging for first-time buyers, whose median age has now risen to 40, the highest on record.
