Home ownership is still out of reach for many -- and scary for others!

Home prices in the greater Houston area are leveling out . ..but Laith Daik, President of Texas Loan Star says rising interest rates are causing havoc. "When you push up interest rates, you are also pushing up the cost of the mortgage payment. Now you have to make more income to qualify for that higher payment. So, some people looking to buy a $300,000 house may start looking for a $250.00 house!" And some may give up! Especially with fewer homes out there. Daik comments, "Based on historical numbers, we are seeing a lower home supply. However, demand has also dropped off due to higher interest rates. In short, it's a different housing market than we saw 2 years ago!"

UnReal Estate - First Time Home Buyers Squeezed Out!

The average monthly mortgage cost for a new homeowner is $760 -- with a 20% down payment! Daik says rising interest rates are to blame. "With interest rates increasing, your home payment is more because the money you're borrowing is costing you more now." Freddie Mac is reporting mortgage rates are climbing above 6% for the first time in 14 years. Daik says there are fewer houses on the market now than in recent years, but also fewer house shoppers.

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