The Most Recent State of the Nation’s Housing Report

August 22, 2025 | by Michael Wilt

Categories: Affordable Housing, Construction, Homelessness, Homeownership, Rental Housing

Each year, the Joint Center for Housing Studies of Harvard University (JCHS) publishes their State of the Nation's Housing report detailing the changing housing landscape and how it impacts renters and homeowners, most notably as it pertains to housing affordability. We've covered this report twice, summarizing findings from the 2022 report and 2019 report.

Released last month, the 2025 State of the Nation's Housing report's main finding is that this past year was one for the record books but not in the most remarkable way, as affordability challenges persist for renters and homeowners alike. Moreover, weather-related disasters are burdening households while the number of Americans experiencing homelessness continues to rise.

Let's take a closer look at some of the primary findings in the report below.

• Housing costs continue to soar. For the first time, the median home price exceeded $400,000 last year, climbing to a record high of $412,000. The monthly mortgage price on a median-priced home also hit a record high of $2,560 which, adjusted for inflation, is nearly 40% higher than in 1990.
  
• The home buyer market is sagging. Not surprisingly, the escalating home prices combined with increased interest rates have negatively impacted the home buying market. In fact, the number of active home sales dropped to its lowest number since 1995 while the median age for first-time buyers climbed to a record high of 38 years as Americans are having a harder time entering into homeownership.
  
• Renters are more cost burdened than ever. A record 22.6 million renter households are cost burdened, meaning they spend more than 30 percent of their income on housing. Additionally, a record 12.1 million renter households are severely cost burdened, meaning they pay more than 50 percent of their income on housing. This means households -- especially low-income households -- have less money for basic necessities. As an example, households earning less than $30,000 have on average only $250 per month after housing expenses.
  
• Homelessness is at a record high. While recent homelessness data is incomplete due to cancelled unsheltered counts in 2021 because of the pandemic, the recorded number of people experiencing homelessness is at an all time high of 771,480.
  
• Weather-related disasters are more frequent and expensive. Over the past two years, there have been a record high 55 weather-related disasters that caused $1 billion or more in damages.

In addition to publishing the full report, JCHS also publishes detailed interactive maps and data that allow you to get a more detailed look on the homeowner and renter burdens in your area. Most notably, this data allows you to see where home buyers are having the hardest time getting into homeownership and how rents are increasing and shifting over time.

On the House blog posts are meant to provide general information on various housing-related issues, research and programs. We are not liable for any errors or inaccuracies in the information provided by blog sources. Furthermore, this blog is not legal advice and should not be used as a substitute for legal advice from a licensed professional attorney.