If home prices and mortgage rates continue their upward trends, more than 1 million American households could get priced out of the housing market. According to new data from the National Association of Home Builders, a mere $1,000 increase in the nation’s median home price would price 127,650 households out of the market. If mortgage rates rise just 25 basis points — from 4.75% to 5%, for example — then another 1 million will be priced out as well. Mortgage rates, aside from a small blip over the last few weeks, have also been on a tear, jumping more than 60 basis points across 2018. Chicago would feel the most impact at the metro level, with just under 4,500 potential buyers priced out.

Source: Forbes January 10, 2019 15:33 UTC