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Date ArticleType
3/15/2022 Member News

NAHB Releases 2022 “Priced Out” Report


NAHB recently released their annual “Priced Out” report that estimates how many households are priced out of homeownership due to a $1,000 increase in home price. NAHB’s latest estimates show that in the Portland Metro Area, 729,725 households (roughly 73% of all Portland area households) are already unable to afford the median-priced ($562,869) new home. A $1,000 increase in the price of that new home will further price 748 households out of the market. Based on their incomes and standard underwriting criteria, these households would be able to qualify for a mortgage to purchase the home before the price increase, but not afterward.

The annual “Priced Out” report is an important tool used by staff to educate local officials and staff of the true cost of the policies and fee increases they impose. For example, recently an elected official said “I don’t believe the imposition of the max one percent would be a make or break issue” when referring to a construction excise tax. Referring to this study, an argument can be made that the added CET cost of $3,000 would price out an additional 2,244 households. Not the insignificant impact assumed by the official’s statement. For more information about the study contact Ryan Makinster at ryanm@hbapdx.org.