Core Insights - Rising housing costs in the U.S. are significantly impacting household budgets, with many families spending over the recommended 28% of their income on housing expenses [2][8] Housing Cost Trends - The median monthly cost for homeowners with a mortgage increased to $2,035 in 2024, up from $1,960 in 2023, marking a 3.8% rise [3] - The average cost of buying a home surged from $238,128 in January 2019 to $365,824 in January 2025, an increase of over $125,000 [4] - Median gross rent rose by 2.7% from 2023 to 2024, reaching $1,487, with contract rent increases outpacing inflation [5] Financial Implications - Housing costs now account for 43% of the median household income for homeowners and 31% for renters, both exceeding the recommended 28% threshold [7] - For a household earning $5,000 per month, the ideal housing expenditure should not exceed $1,400, yet actual costs are significantly higher [7] - Median weekly earnings for U.S. workers reached $1,196 in Q2 2025, translating to 43% of their budget being consumed by housing costs for homeowners and 31% for renters [9]