FICO Survey: 62% of US Non-Owners See Homeownership as Out of Reach

Key Facts

Amid persistent inflationary pressures and tightening credit conditions, a recent FICO survey indicates that 62% of American non-owners now view homeownership as an unattainable dream. The report highlights that 57% of first-time buyers share this sentiment, while 75% of prospective buyers report being financially blocked from entering the market. This trend is primarily driven by surging property prices and rising borrowing costs, compounded by a lack of consumer understanding regarding mortgage eligibility and credit scores.

These findings emerge as the US housing market faces a significant cooldown, with Nationwide House Price data showing a modest 2.2% annual increase as of July 1, 2026. Compared to prior periods, experts note that sustained high interest rates are severely weighing on purchasing power; the MBA 30-year mortgage rate stood at 6.57% in early July 2026 per market data, representing a substantial barrier for middle-income families compared to historical lows.

Looking ahead, investors are monitoring additional economic indicators to gauge the housing sector's trajectory, especially following the CB Consumer Confidence index which printed at 91.2, missing the 94.4 forecast. In the absence of real-time equity price data for the sector, market participants remain focused on potential shifts in monetary policy that could alleviate mortgage costs, particularly as ADP employment growth slowed to 98,000, signaling a broader economic deceleration.