U.S. Housing Affordability Index — Updated Monthly
As of May 2026, the Housing Affordability Index is 131.7. An index above 100 means a median-income family can qualify for a mortgage on a median-priced home. Data from Federal Reserve (FRED), updated monthly.
Current Affordability Index
131.7
Above 100 = Affordable
Month-over-Month Change
+0.53%
Improving
Index vs Historical Average
-40.3 pts
Avg: 172.0
Current 30-Year Mortgage Rate
6.30%
Key affordability driver
Housing Affordability Index History
FIXHAI — Federal Reserve (FRED). Above 100 = affordable, below 100 = unaffordable.
The Housing Affordability Index (FIXHAI) measures whether a median-income family can qualify for a mortgage on a median-priced home. Above 100 = affordable.
Affordability Context
At 131.7, the Housing Affordability Index is more affordable compared to the affordability threshold of 100. This is 40.3 points below the historical average of 172.0.
The index peaked at 316.6 in December 1984 when home prices were lower relative to incomes, and hit its lowest point of 104.6 in July 2012 during a period of high prices and rates.
At the current 30-year mortgage rate of 6.30%, a median-income family can comfortably qualify for a mortgage on a median-priced home. A monthly payment on a $324,240 loan (80% of $405,300 median price) would be approximately $2,007 in principal and interest.
What Drives Housing Affordability?
Home Prices
When home prices rise faster than income, affordability falls. The national median home price is currently approximately $405,300.
View home price trends →Mortgage Rates
At 6.30%, a $320,000 loan (80% of median price) costs approximately $2,007/month in principal and interest. Higher rates reduce purchasing power.
View mortgage rate trends →Income Growth
Affordability improves when income grows faster than home prices. Median family income trends, combined with price and rate changes, determine what families can afford.
View income & rent trends →Understanding the Index
The Housing Affordability Index (FIXHAI) measures the ratio of median family income to the qualifying income needed for a median-priced home.
- Index > 100: Median income exceeds qualifying amount — housing is affordable
- Index = 100: Median income exactly matches qualifying amount — at equilibrium
- Index < 100: Median income falls short — housing is unaffordable for typical families
How the Index Works
The index assumes a 20% down payment, a qualifying mortgage rate (typically the average 30-year fixed rate), and median family income. It calculates the income needed to qualify for a mortgage on a median-priced home and compares it to actual median family income.
Published by the National Association of Realtors and available via FRED, the index provides a comprehensive view of housing affordability trends.
Frequently Asked Questions
What is the current Housing Affordability Index?
As of May 2026, the U.S. Housing Affordability Index (FIXHAI) is 131.7, according to Federal Reserve data. An index above 100 means a median-income family can qualify for a mortgage on a median-priced home. The data is published monthly.
What does a Housing Affordability Index of 117 mean?
An index of 117.6 means that a median-income family has 117.6% of the income needed to qualify for a mortgage on a median-priced home — meaning they earn about 17.6% more than the minimum qualifying income. This indicates housing is relatively affordable, though not at the high levels seen during 2020-2021.
Is housing affordable in 2026?
Based on the current FIXHAI index of 131.7, housing is more affordable for a median-income family at current home prices and mortgage rates. The index combines median home price, mortgage rates, and median family income to provide a single measure of overall affordability. The chart above shows how this has changed over time.
What makes housing less affordable?
The three main drivers of housing affordability are home prices, mortgage interest rates, and household income. When home prices or mortgage rates rise faster than income growth, affordability decreases (index falls). Conversely, when income grows faster than prices and rates, the index rises. The combination of high home prices and elevated mortgage rates typically creates the most affordability pressure.
When was housing most affordable?
The Housing Affordability Index has historically been highest (most affordable) when mortgage rates were low and home prices were moderate relative to incomes. The index peaked during the low-rate environment of 2020-2021, reaching levels above 150. During periods of high interest rates like the early 1980s or high home prices like the mid-2000s, the index dropped below 100, indicating reduced affordability.
How is the Housing Affordability Index calculated?
The index is calculated by the National Association of Realtors and published via FRED. It determines what percentage of the qualifying income a median family earns. The qualifying income is based on a standard mortgage underwriting: 20% down payment, prevailing mortgage rate (typically 30-year fixed), and principal+interest payment not exceeding 25% of gross income. The index uses the median home price and median family income to compute this ratio. An index of 100 means median income equals the qualifying amount; above 100 means median income exceeds the requirement.
What mortgage rate is used in the affordability calculation?
The FIXHAI index uses the prevailing 30-year fixed mortgage rate, typically the average rate from the Federal Reserve's H.15 release. The current monthly rate is shown on this page (6.30%) and is a key input to the affordability calculation. As mortgage rates rise, the qualifying income requirement increases, pushing the index lower (less affordable). Conversely, declining rates improve affordability.
Data Sources & Methodology
All data is sourced from the Federal Reserve Economic Data (FRED) database, maintained by the Federal Reserve Bank of St. Louis.
- Housing Affordability Index: Series
FIXHAI— Housing Affordability Index for the United States, calculated by the National Association of Realtors. (View on FRED) - 30-Year Mortgage Rate: Series
MORTGAGE30US— 30-Year Fixed Rate Mortgage Average, weekly. (View on FRED)
Update frequency: The Housing Affordability Index is published monthly. Mortgage rate data is published weekly. All data is fetched live from FRED via API when you view this page.
Note on interpretation: The index is based on median home price, median family income, and prevailing 30-year fixed mortgage rates. It assumes a 20% down payment and that principal and interest should not exceed 25% of gross income to be considered "affordable." Index values above 100 indicate that median-income families have more than enough income to qualify; below 100 indicates they fall short.
Explore more housing market indicators: Home Prices • Mortgage Rates • Foreclosures