“Raising the deductible amount provides important flexibility for lenders and property owners to obtain and maintain appropriate property insurance that covers their properties in the event of catastrophic weather damage while maintaining appropriate safeguards to ensure that properties are adequately insured,” said Ethan Handelman, deputy assistant secretary for multifamily housing at HUD. The previous policy … [Read more…]
It’s the season of new beginnings and fresh starts: Spring cleaning, the outdoors, weddings, gardening and… real estate.
But in a housing market marked by high mortgage rates, low housing inventory and steep home prices, we still haven’t seen a typical spring homebuying season.
Though mortgage application volume is higher than it was last fall when home loan rates peaked above 8%, it’s still 10% lower than it was last year.
As temperatures go up in 2024, experts anticipate a somewhat healthier spring market, with inventory and home listings growing. So far, however, it hasn’t been such a great kickoff: In April, the average rate for a 30-year fixed mortgage pushed back above 7% in response to hot inflation data.
But context is critical, according to Logan Mohtashami, lead analyst at HousingWire. “Last year was the all-time low in new listings data,” he said.
Here’s a look at how the spring market is shaping up and what buyers can do to navigate it successfully.
Why is spring the season to buy and sell a home?
There are several reasons behind the rush of home listings and sales in the springtime and early summer months, according to Jeb Smith, realtor and CNET Money Expert Review Board member.
Warmer weather: Better temperatures and more sunlight make it easier for buyers to go out, tour and inspect properties compared with the winter months.
Timing with academic calendar: Families start the buying process so they can be settled into a new home before the start of their child’s school year in the fall.
Greater inventory: With sellers motivated to sell due to an influx of motivated buyers, increased supply hits the market.
Favorable to buyers and sellers: Buyers know there will be more choices available to them, and sellers take advantage of demand to list their homes at higher prices.
Why is today’s spring market different?
Beyond seasonal trends, the housing market is highly sensitive to broader economic shifts. Over the past two years, high inflation and surging mortgage rates have done significant damage to affordability for the average homebuyer.
From May 2019 to May 2023, average mortgage rates increased by more than 2%, causing a roughly 25% drop in home sales, according to data from Redfin. Homeowners who are currently “locked in” with low home loan rates have less incentive to sell, which keeps prospective buyers “locked out.”
Meanwhile, many prospective buyers are priced out of the market. According to Zillow, the monthly mortgage payment on a typical US home has almost doubled since January 2020. The average income needed to afford a home is now more than $106,500 — an 80% increase over four years — while the typical US household earns around $81,000 each year.
High mortgage rates also negatively impact existing housing inventory, said Daryl Fairweather, chief economist at Redfin. Because most sellers are also buyers, homeowners would rather hold onto their sub-5% mortgage rates than take out a new home loan at a 7% rate.
This “rate-lock” scenario — with sellers reluctant to give up their existing mortgage — is starting to loosen, according to Orphe Divounguy, senior economist at Zillow Home Loans. Homeowners have accrued substantial equity over the last period and are more motivated to cash in on it. “Any who were waiting for rates to fall have likely given up,” Divounguy said.
Who has the upper hand this season? Buyers or sellers?
Shrinking housing supply over the past several years has given sellers the upper hand. After all, you can’t buy what’s not for sale.
“In most areas of the country, we still have more buyer demand than inventory, which is typically indicative of a seller’s market,” Smith said. Because of that imbalance, many housing markets continue to be very competitive with multiple offers on homes, he said.
Yet in some areas where supply has returned to pre-pandemic levels, buyers have more of the upper hand. Divounguy said that in markets where new construction has taken off and existing inventory has recovered, price growth is slower, giving buyers better traction in negotiations.
Generally speaking, however, housing supply is still too low. “Even with home sales still trending at record-low levels, we have too many people chasing too few homes,” Mohtashami said.
In a buyer’s market, there’s a surplus of homes for sale and not enough buyers. Buyers have more options and leverage to negotiate lower prices or other concessions from sellers.
In a seller’s market, demand for homes exceeds supply. With more buyers ready to make offers on fewer homes, sellers are at an advantage and asking prices are generally higher.
If mortgage rates were to drop significantly, we’d likely see a substantial uptick in buyer and seller activity. However, 6% mortgage rates are still several months away, keeping a lid on the number of new listings this spring.
At the same time, homeseekers who need to relocate — or those getting tired of waiting on the sidelines — are starting to adjust to the new normal. Many families can’t put their lives on hold forever, and another era of sub-3% mortgage rates isn’t on the horizon.
“Buyers seem to now be accepting this higher-rate environment and are getting back into the market,” said Melissa Cohn, regional vice president at William Raveis Mortgage. Many of them know they have the option to refinance to a lower rate when mortgage rates eventually come down, she said.
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How does low inventory affect home prices?
In February, new listings increased 14.8% from the prior year, the largest annual gain since May 2021, according to Redfin. Currently, there are about 25% more available homes for sale compared with 2023, adding up to around 100,000 extra single-family homes on the market, Smith said. But again, context is critical.
“Even with this increase, the number of homes for sale is still much lower than what we saw before the pandemic hit, indicating we’re not yet back to a ‘normal’ market,” Smith said.
With buyer demand outweighing existing supply, home prices continue to go up. In February, the median sale price was $412,778, which is 6.6% higher than the previous year.
Should you sit it out this homebuying season?
Ultimately, the right time to buy a house depends on your finances, goals and timeline. The housing market has its patterns and fluctuations, but that doesn’t mean it has to dictate what works for you.
If you find a home that meets your needs and aligns with your budget, go for it. You can always refinance to a lower mortgage rate later.
But if you decide to delay buying a house, you can take steps toward having a more solid foundation as a future homeowner. By waiting, you’re giving yourself time to save for a bigger down payment, improve your credit and be in an overall better position to purchase a house, even if it’s not for several spring seasons down the road.
Today’s average mortgage rates on Apr. 19, 2024, compared with one week ago. We use rate data collected by Bankrate as reported by lenders across the US.
Current mortgage interest rates
If you’re in the market for a home, here are today’s mortgage rates compared to last week’s.
Product
Rate
Last week
Change
30-year fixed
7.13%
7.02%
+0.11
15-year fixed
6.64%
6.44%
+0.20
10-year fixed
6.51%
6.37%
+0.14
5/1 ARM
6.79%
6.60%
+0.19
30-year jumbo mortgage rate
7.40%
7.20%
+0.20
30-year mortgage refinance rate
7.11%
6.97%
+0.13
Average rates offered by lenders nationwide as of April 16, 2024. We use rates collected by Bankrate to track daily mortgage rate trends.
Mortgage rates change every day. Experts recommend shopping around to make sure you’re getting the lowest rate. By entering your information below, you can get a custom quote from one of CNET’s partner lenders.
About these rates: Like CNET, Bankrate is owned by Red Ventures. This tool features partner rates from lenders that you can use when comparing multiple mortgage rates.
Mortgage interest rate trends
Over the last few years, high inflation and the Federal Reserve’s aggressive interest rate hikes pushed up mortgage rates from their record lows around the pandemic. Since last summer, the Fed has consistently kept the federal funds rate at 5.25% to 5.5%. Though the central bank doesn’t directly set the rates for mortgages, a high federal funds rate makes borrowing more expensive, including for home loans.
Mortgage rates change daily, but average rates have been moving between 6.5% and 7.5% since late last fall. Today’s homebuyers have less room in their budget to afford the cost of a home due to elevated mortgage rates and steep home prices. Limited housing inventory and low wage growth are also contributing to the affordability crisis and keeping mortgage demand down.
What to expect from mortgage rates in 2024
Mortgage forecasters base their projections on different data, but most housing market experts predict rates will move toward 6% by the end of 2024. Ultimately, a more affordable mortgage market will depend on how quickly the Fed begins cutting interest rates. Most economists predict that the Fed will start lowering interest rates later this summer.
Since mortgage rates fluctuate for many reasons — supply, demand, inflation, monetary policy and jobs data — homebuyers won’t see lower rates overnight, and it’s unlikely they’ll find rates in the 2% range again.
“We are expecting mortgage rates to fall to around 6.5% by the end of this year, but there’s still a lot of volatility I think we might see,” said Daryl Fairweather, chief economist at Redfin.
Every month brings a new set of inflation and labor data that can change how investors and the market respond and what direction mortgage rates go, said Odeta Kushi, deputy chief economist at First American Financial Corporation. “Ongoing inflation deceleration, a slowing economy and even geopolitical uncertainty can contribute to lower mortgage rates. On the other hand, data that signals upside risk to inflation may result in higher rates,” Kushi said.
Here’s a look at where some major housing authorities expect average mortgage rates to land.
How to select a mortgage term and type
When picking a mortgage, consider the loan term, or payment schedule. The most common mortgage terms are 15 and 30 years, although 10-, 20- and 40-year mortgages also exist. You’ll also need to choose between a fixed-rate mortgage, where the interest rate is set for the duration of the loan, and an adjustable-rate mortgage. With an adjustable-rate mortgage, the interest rate is only fixed for a certain amount of time (commonly five, seven or 10 years), after which the rate adjusts annually based on the market’s current interest rate. Fixed-rate mortgages offer more stability and are a better option if you plan to live in a home in the long term, but adjustable-rate mortgages may offer lower interest rates upfront.
30-year fixed-rate mortgages
The average interest rate for a standard 30-year fixed mortgage is 7.13%, which is a growth of 11 basis points compared to one week ago. (A basis point is equivalent to 0.01%.) A 30-year fixed mortgage is the most common loan term. It will often have a higher interest rate than a 15-year mortgage, but you’ll have a lower monthly payment.
15-year fixed-rate mortgages
The average rate for a 15-year, fixed mortgage is 6.64%, which is an increase of 20 basis points from the same time last week. Though you’ll have a bigger monthly payment than a 30-year fixed mortgage, a 15-year loan usually comes with a lower interest rate, allowing you to pay less interest in the long run and pay off your mortgage sooner.
5/1 adjustable-rate mortgages
A 5/1 adjustable-rate mortgage has an average rate of 6.79%, an uptick of 19 basis points from seven days ago. You’ll typically get a lower introductory interest rate with a 5/1 ARM in the first five years of the mortgage. But you could pay more after that period, depending on how the rate adjusts annually. If you plan to sell or refinance your house within five years, an ARM could be a good option.
What factors affect mortgage rates?
While it’s important to monitor mortgage rates if you’re shopping for a home, remember that no one has a crystal ball. It’s impossible to time the mortgage market, and rates will always have some level of volatility because so many factors are at play.
“Mortgage rates tend to follow long-date Treasury yields, a function of current inflation and economic growth as well as expectations about future economic conditions,” says Orphe Divounguy, senior macroeconomist at Zillow Home Loans.
Here are the factors that influence the average rates on home loans.
Federal Reserve monetary policy: The nation’s central bank doesn’t set interest rates, but when it adjusts the federal funds rate, mortgages tend to go in the same direction.
Inflation: Mortgage rates tend to increase during high inflation. Lenders usually set higher interest rates on loans to compensate for the loss of purchasing power.
The bond market: Mortgage lenders often use long-term bond yields, like the 10-Year Treasury, as a benchmark to set interest rates on home loans. When yields rise, mortgage rates typically increase.
Geopolitical events: World events, such as elections, pandemics or economic crises, can also affect home loan rates, particularly when global financial markets face uncertainty.
Other economic factors: The bond market, employment data, investor confidence and housing market trends, such as supply and demand, can also affect the direction of mortgage rates.
Calculate your monthly mortgage payment
Getting a mortgage should always depend on your financial situation and long-term goals. The most important thing is to make a budget and try to stay within your means. CNET’s mortgage calculator below can help homebuyers prepare for monthly mortgage payments.
Tips for finding the best mortgage rates
Though mortgage rates and home prices are high, the housing market won’t be unaffordable forever. It’s always a good time to save for a down payment and improve your credit score to help you secure a competitive mortgage rate when the time is right.
Save for a bigger down payment: Though a 20% down payment isn’t required, a larger upfront payment means taking out a smaller mortgage, which will help you save in interest.
Boost your credit score: You can qualify for a conventional mortgage with a 620 credit score, but a higher score of at least 740 will get you better rates.
Pay off debt: Experts recommend a debt-to-income ratio of 36% or less to help you qualify for the best rates. Not carrying other debt will put you in a better position to handle your monthly payments.
Research loans and assistance: Government-sponsored loans have more flexible borrowing requirements than conventional loans. Some government-sponsored or private programs can also help with your down payment and closing costs.
Shop around for lenders: Researching and comparing multiple loan offers from different lenders can help you secure the lowest mortgage rate for your situation.
“It’s no secret that the combination of rising interest rates, limited inventory and growing property appreciation have made it more difficult for potential homebuyers to purchase in today’s market. While existing homeowners have benefitted tremendously from skyrocketing home equity, that trend has put buyers at a tremendous disadvantage,” Click n’ Close CEO Jeff Bode said in a Press release. “By combining our proprietary DPA programs with a shared appreciation option, we’re not only helping buyers get into a home more easily but also reap the benefit of homeownership from day one.”
The program is available to retail clients and through Click n’ Close’s wholesale division.
Read next: Gen Z remains hopeful about buying homes despite affordability issues
Formerly known as Mid America Mortgage, Click n’ Close has been operating since 1940. It is also a leading provider of Section 184 home loans for Native Americans. The lender maintains direct relationships with major financing agencies like Fannie Mae, Freddie Mac, and Ginnie Mae, enhancing its access to capital markets and ensuring liquidity for its loan products. Click n’ Close also manages loan servicing in-house, which it believes guarantees consistent borrower service and enhances loan salability for its partners.
Stay updated with the freshest mortgage news. Get exclusive interviews, breaking news, and industry events in your inbox, and always be the first to know by subscribing to our FREE daily newsletter.
The “Queen City,” Charlotte, NC, is a charming city with a vibrant downtown area, rich history, and easy access to nature. With attractions like the NASCAR Hall of Fame, Freedom Park, and the Spectrum Center, Charlotte lives up to its motto, “Charlotte’s Got a Lot.”
If you’re looking to rent an apartment in Charlotte, you’ll find that the average rent for a studio is $1,449 while a one-bedroom apartment is $1,497. But don’t worry, we’ve got you covered. ApartmentGuide has gathered a list of the most affordable neighborhoods in Charlotte to rent this year.
8 Affordable Neighborhoods in Charlotte, NC
From Elizabeth to Westside, Charlotte has affordable neighborhoods that fit your budget. The best part is that they’re all under Charlotte’s average rent for studio and one-bedroom units. Let’s jump in and see what Charlotte neighborhoods made the list.
1. Elizabeth 2. Westside 3. Eastside 4. Southwest Charlotte 5. Olde Whitehall 6. Harris – Houston 7. Myers Park 8. NoDa
Read on to see what each neighborhood has to offer its residents.
1. Elizabeth
Average studio rent: $1,395 Average 1-bedroom rent: $950 Apartments for rent in Elizabeth
Elizabeth is the most affordable neighborhood in Charlotte, as the average rent for a one-bedroom unit is $950. There are many reasons to love living in Elizabeth, from attractions like the Mural House and the Dale F. Halton Theater to green spaces like Independence Park. If you’re looking for a taste of the neighborhood, there are a variety of local restaurants to explore along Elizabeth Avenue. There are plenty of buses and light rail stops for renters living in Charlotte without a car.
Learn more about the Elizabeth neighborhood in Charlotte.
2. Westside
Average studio rent: $950 Average 1-bedroom rent: $1,020 Apartments for rent in Westside
Westside is a bustling area that’s just west of downtown Charlotte. This affordable neighborhood has many attractions, such as the Charlotte Douglas International Airport, the U.S. National Whitewater Center, and Hornets Nest Park. It’s an expansive neighborhood encompassing many smaller sub-neighborhoods, so there are plenty of places to explore if you’re new to Charlotte.
3. Eastside
Average studio rent: $925 Average 1-bedroom rent: $1,124 Apartments for rent in Eastside
With an average one-bedroom rent of $1,124, Eastside is the third-most affordable neighborhood in Charlotte. This neighborhood is an awesome option to consider as it’s home to attractions like the Charlotte Museum of History and McAlpine Creek Park. There are also picturesque views of the surrounding areas, and it’s close to downtown, so it’s a great area to explore Charlotte.
4. Southwest Charlotte
Average studio rent: $1,074 Average 1-bedroom rent: $1,307 Apartments for rent in Southwest Charlotte
Southwest Charlotte is the fourth-most affordable neighborhood in the city. This neighborhood is a great option if you’re looking for access to plenty of shops and restaurants, alongside lush green spaces. For example, you can easily access the Rivergate shopping center and Carowinds, an amusement park located along the North Carolina/South Carolina border. You can also explore the expansive McDowell Nature Preserve along Lake Wylie.
5. Olde Whitehall
Average studio rent: $1,290 Average 1-bedroom rent: $1,381 Apartments for rent in Olde Whitehall
Olde Whitehall is a stellar neighborhood if you want to live a little closer to the city center. The area has several shopping centers, like the Charlotte Premium Outlets, and nature preserves, like Berewick Park and Renaissance Park. This is a great area for renters with cars as there are several freeways, like I-485 and State Highway 49.
6. Harris – Houston
Average studio rent: $1,025 Average 1-bedroom rent: $1,481 Apartments for rent in Harris – Houston
Next up is Harris – Houston, the sixth-most affordable neighborhood in Charlotte. Harris – Houston is full of history and charm with tree-lined streets and creeks. This area also has plenty of parks, restaurants, and attractions, like the PNC Music Pavilion, so you’ll have lots to explore. Make sure to enjoy the outdoors at Kirk Farm Fields Park or grab a meal at one of the neighborhood restaurants. There’s something for everyone living in Harris – Houston.
7. Myers Park
Average studio rent: $1,329 Average 1-bedroom rent: $1,495 Apartments for rent in Myers Park
Nestled south of downtown, Myers Park is the seventh-most affordable neighborhood in Charlotte. Myers Park has a community feel, with plenty of local cafes and restaurants along Selwyn Avenue, such as Fenwick’s and Volo’s Ristorante. You can also check out some of Myers Park’s green spaces like Freedom Park or the historic landmarks like Elizabeth Lawrence House & Garden and The Duke Mansion.
Learn more about the Myers Park neighborhood in Charlotte.
8. NoDa
Average studio rent: $1,433 Average 1-bedroom rent: $1,452 Apartments for rent in NoDa
NoDa takes the eighth spot on our list of most affordable neighborhoods in Charlotte. The average rent for a one-bedroom unit is roughly $40 less than the city’s average, making NoDa a great option. It’s about 3 miles from downtown, so you’ll have the best city life without living in the city center. NoDa is home to the NoDa Historic Arts District and the Blackbox Theatre, meaning there’s plenty to do throughout the week. You’ll find countless historic buildings in NoDa, so make sure to explore the area’s charm. NoDa has a lot of local restaurants and bars along North Davidson Street, so there’s always something new to explore. If you need to commute to work, there are many options, as the Lynx Blue Line is nearby.
Learn more about the NoDa neighborhood in Charlotte.
Methodology: Affordability based on whether a neighborhood has average studio and 1-bedroom rent prices under the city’s average. Average rental data from Rent.com in March 2024.
Kansas City, MO, is a welcoming city with its jazz history, Kansas City-style barbeque, art museums, and views of the Missouri River. The city is home to about 510,000 residents, so there’s no shortage of hidden gems and popular places to explore in Kansas City.
If you’re looking to rent an apartment in Kansas City, but the average rent for a studio is $1,012, and a one-bedroom apartment is $1,210, you might be wondering where to find more affordable options. ApartmentGuide has done the research and found the 9 most affordable neighborhoods in Kansas City to rent this year.
9 Affordable Neighborhoods in Kansas City, MO
From historic Scarritt Point to charming Quality Hill, these Kansas City neighborhoods offer apartments within your budget. Let’s explore the hidden gems of Kansas City’s rental market.
1. Scarritt Point 2. Quality Hill 3. Santa Fe Hills 4. Waldo 5. Northeast Kansas City 6. Broadway Gillham 7. Northland 8. South Plaza 9. Country Club Plaza
Read on to see what each neighborhood has to offer its residents.
1. Scarritt Point
Average studio rent: $645 Average 1-bedroom rent: $695 Apartments for rent in Scarritt Point
Scarritt Point is the most affordable neighborhood in Kansas City. The average rent for a one-bedroom unit is $695, nearly half the price of the city’s average. There are plenty of reasons to love living in Scarritt Point, from attractions like the Kansas City Museum and the Colonnade to green spaces like Kessler Park and Cliff Drive Scenic Byway. If you’re looking for a taste of the neighborhood, there are a variety of local restaurants to explore along Independence Avenue, showcasing Kansas City’s food scene.
2. Quality Hill
Average studio rent: $702 Average 1-bedroom rent: $772 Apartments for rent in Quality Hill
Quality Hill is a historic area that’s just west of downtown Kansas City. This affordable neighborhood has lots of landmarks, such as The Cathedral of the Immaculate Conception and Ermine Case Junior Park. It’s also close to popular attractions like the Kansas City Convention Center, T-Mobile Center, and the Kansas City Power and Light Building. Quality Hill is home to many local bars and restaurants, making it an awesome area to explore the city.
3. Santa Fe Hills
Average studio rent: $789 Average 1-bedroom rent: $827 Apartments for rent in Santa Fe Hills
With an average one-bedroom rent of $827, Santa Fe Hills is the third-most affordable neighborhood in Kansas City. This neighborhood is an excellent option to consider if you’re looking for a more residential feeling that’s farther from the city. There are plenty of green spaces nearby such as Legacy West Park and Indian Creek Greenway.
4. Waldo
Average studio rent: $789 Average 1-bedroom rent: $827 Apartments for rent in Waldo
Waldo is the fourth-most affordable neighborhood in Kansas City, located along the Kansas-Missouri border. This neighborhood is a great option if you’re looking for access to plenty of shops and restaurants. You can find a lot of places along West 75th Street and Wornal Road, like Waldo Pizza, Jovito’s Italian Café & Deli, and Bōru Asian Eatery.
5. Northeast Kansas City
Average studio rent: $789 Average 1-bedroom rent: $900 Apartments for rent in Northeast Kansas City
Just about 5 miles from downtown, Northeast Kansas City is a stellar neighborhood if you want to live close to downtown. It’s also a great area if you commute to work, as there are a few bus stops and many major roadways. Northeast Kansas City is a large area encompassing smaller neighborhoods, like Scarritt Point, so you’ll find plenty of attractions. Make sure to check out Knuckleheads, Kessler Park, and the Kansas City Museum, among many others.
6. Broadway Gillham
Average studio rent: $675 Average 1-bedroom rent: $1,000 Apartments for rent in Broadway Gillham
Next up is Broadway Gillham, the sixth-most affordable neighborhood in Kansas City. Broadway Gillham has a charming residential atmosphere near lots of cafes and restaurants. Make sure to enjoy the outdoors at Penn Valley Park, visit the Money Museum, or grab a meal at one of the neighborhood restaurants along East 31st Street. There’s something for everyone living in Broadway Gillham.
7. Northland
Average studio rent: $765 Average 1-bedroom rent: $1,082 Apartments for rent in Northland
North of downtown, Northland is the seventh-most affordable neighborhood in Kansas City. Northland has a friendly atmosphere and community feeling, with plenty of local cafes, restaurants, parks, and green spaces. Make sure to explore Hodge Park and Shoal Creek Living History Museum, Platte Purchase Park, and Amity Woods Nature Park. The neighborhood is also close to the Kansas City International Airport, making it easy to travel.
8. South Plaza
Average studio rent: $955 Average 1-bedroom rent: $1,110 Apartments for rent in South Plaza
South Plaza is the eighth spot on our list, a quaint neighborhood just south of Brush Creek. The average rent for a one-bedroom unit is roughly $1,110, making South Plaza a great option. It’s about 3 miles from Downtown, so you’ll have the best city life without living in the city center. It’s close to Country Club Plaza, a famous shopping center. You can also visit Jacob L. Loose Park or The National Museum of Toys and Miniatures if you decide to rent in South Plaza.
9. Country Club Plaza
Average studio rent: $1,000 Average 1-bedroom rent: $1,165 Apartments for rent in Country Club Plaza
A well-known Kansas City neighborhood, Country Club Plaza is the next area. Country Club Plaza is home to the popular Country Club Plaza shopping center, meaning there’s plenty to do throughout the week. You’ll find several historic buildings in Country Club Plaza and parks like Mill Creek Park, so make sure to explore the area’s charm. If you need to commute to work, several bus stops and freeways are nearby.
Methodology: Affordability based on whether a neighborhood has average studio and 1-bedroom rent prices under the city’s average. Average rental data from Rent.com in March 2024.
Have you been wondering, “Should I move to Kansas City, MO?” If so, you’re not alone. This city is a hidden gem in the heart of America, offering a unique blend of Midwestern charm and urban amenities. Known for its jazz heritage, mouthwatering barbecue, and the iconic Kansas City Royals, this city stands out for its rich culture and friendly atmosphere. In this article, we’ll dive into the pros and cons of living in Kansas City to help you figure out if this city’s rhythm matches your own. Let’s get started.
Kansas City at a Glance
Walk Score: 35 | Bike Score: 35 | Transit Score: 25
Median Sale Price: $250,000 | Average Rent for 1-Bedroom Apartment: $1,210
Kansas City neighborhoods | Houses for rent in Kansas City | apartments for rent in Kansas City | Homes for sale in Kansas City
Pro: Rich musical heritage
Kansas City boasts a vibrant musical history, particularly known for its jazz legacy. The city’s 18th and Vine Historic Jazz District is a cultural gem. The area offers live music venues where visitors can immerse themselves in the sounds that once dominated the area. The local American Jazz Museum serves as a testament to the city’s significant contribution to the genre. This unique musical culture provides residents and visitors with a deep sense of connection to the artistic soul of Kansas City.
Con: Weather extremes
Living in Kansas City means experiencing a wide range of weather conditions, from sweltering summers to bitterly cold winters. The city’s location in the Midwest subjects it to unpredictable weather patterns. These include severe thunderstorms and occasional tornadoes in the spring and summer months. Winter brings its own challenges, with heavy snowfall and ice storms often leading to difficult travel conditions. These weather extremes can be a significant drawback for those not used to this type of weather.
Pro: Thriving culinary scene
Kansas City is renowned for its barbecue, with more than 100 barbecue establishments offering their take on smoked meats. However, the city’s culinary scene extends far beyond barbecue, featuring a diverse array of dining options that cater to all tastes. From farm-to-table restaurants to ethnic eateries reflecting the city’s multicultural population, food lovers will find Kansas City a delightful place to explore new flavors.
Con: Public transportation limitations
With a Transit Score of 25, many locals find public transportation options in Kansas City limited. While the city made strides in improving its public transportation system, including the introduction of the KC Streetcar, it still faces challenges in providing comprehensive coverage. Many areas of the city and its suburbs are not well-served by public transit, making car ownership almost a necessity for residents. This limitation can be a significant inconvenience for those looking for more sustainable transportation options.
Pro: Affordable cost of living
The cost of living in Kansas City is 6% lower than the national average. Housing prices are relatively low, allowing locals to enjoy a higher quality of life without the financial strain experienced in more expensive cities. This affordability extends to everyday expenses, such as groceries and utilities, making Kansas City an attractive option for individuals looking to stretch their budgets further.
Con: Limited job market in certain sectors
While Kansas City has a robust job market in industries such as healthcare, finance, and technology, opportunities in certain sectors can be limited. Those seeking careers in more specialized fields may find fewer options available. This means some people may need to commute to neighboring cities or broaden their job search. This limitation can be a significant consideration for people evaluating Kansas City as a potential place to live and work.
Pro: Dynamic arts and culture scene
Kansas City’s arts and culture scene is a significant draw, featuring a wide range of museums, galleries, and theaters. The Nelson-Atkins Museum of Art and the Kemper Museum of Contemporary Art offer world-class art collections, while the Kauffman Center for the Performing Arts hosts a variety of performances, from opera to ballet. This vibrant cultural landscape provides locals with ample opportunities to engage with the arts, enriching the community’s overall quality of life.
Con: Allergy and air quality concerns
For individuals sensitive to allergens, Kansas City’s seasons can be challenging. The city experiences high pollen counts, particularly in the spring and fall, which can aggravate allergies. Additionally, air quality can be a concern during periods of high humidity and heat in the summer months, potentially affecting those with respiratory conditions.
Pro: Sports fan’s paradise
Kansas City is a haven for sports fans, home to the Kansas City Chiefs (NFL) and the Kansas City Royals (MLB). The city rallies around its teams, creating a strong sense of community and pride. Arrowhead Stadium and Kauffman Stadium offer electrifying environments for game days, providing unforgettable experiences for fans. This passionate sports culture is a unique aspect of living in Kansas City, fostering camaraderie among residents.
Con: Sprawling city layout
The sprawling layout of Kansas City can be a con for those who prefer more compact, walkable urban environments. The city’s extensive footprint means that many destinations are spread out, requiring reliance on personal vehicles for transportation. This sprawl can lead to longer commute times and can detract from the sense of community found in more densely populated areas.
Pro: Expansive green spaces
Kansas City has an impressive array of parks and green spaces, offering people a welcome escape from urban life. Swope Park, larger than New York City’s Central Park, provides a vast area for outdoor activities, including hiking, golfing, and the Kansas City Zoo. These green spaces are essential for recreation and relaxation, contributing to the city’s overall livability and quality of life.
Jenna is a Midwest native who enjoys writing about home improvement projects and local insights. When she’s not working, you can find her cooking, crocheting, or backpacking with her fiancé.
The median monthly housing payment for U.S. homebuyers rose to a record $2,775 during the four-week period ending April 14, up 11% year over year, according to a Redfin report.
The recent hotter-than-expected inflation reading sent mortgage rates upward. On Thursday, HousingWire’s Mortgage Rates Center showed the average 30-year fixed rate for conventional loans at 7.31%, up from 7.19% a week earlier.
Additionally, Federal Reserve Chair Jerome Powell made statements at the Washington Forum on Tuesday that indicate there will be no rate cuts anytime soon because the economy and the labor market continue to run hot and inflation has remained sticky.
Furthermore, the median price for all types of existing homes rose to $393,500 in March, an increase of 4.8% from the median price of $375,300 in the same month last year, according to the National Association of Realtors (NAR).
Despite the challenging housing market, demand isn’t fading. Mortgage applications, for instance, increased for the second week in a row on the back of a strong economy.
According to Chen Zhao, Redfin’s economic research lead, some house hunters are eager to buy now as they fear a further increase in mortgage rates. Meanwhile, others have grown accustomed to elevated rates and have accordingly factored the inflated rates into their home purchase budget.
“Home sales are slower than usual, but there are still people buying and selling because if not now, when?” Connie Durnal, a Redfin Premier agent in Dallas, said in a news release. “I’ve had a few prospective buyers touring homes for the last several years, since mortgage rates started going up, and they wish they would have bought last year because prices and rates are even higher now.
“My advice to them: If you can afford to and you find a house you love, buy now. There’s no guarantee that rates will come down soon.”
At the end of March, NAR reported that total housing inventory sat at 1.11 million units, up 4.7% from February and up 14.4% from one year ago.
Homes in Rocklin, California, on Tuesday, Dec. 6, 2022.
David Paul Morris | Bloomberg | Getty Images
The average rate on the popular 30-year fixed mortgage crossed over 7% on April 1, according to Mortgage News Daily, and it just kept going. It now sits right around 7.5%, the highest level since mid-November of last year.
Rates hit their highest level in a few decades last October, causing home sales to grind to a halt. Builders jumped to buy down rates for their customers and managed to do better than existing home sellers.
Rates then fell through mid-January to the mid-6% range and held there into February, causing a surge in home sales. But then they began rising again.
“By mid-February, a pick-up in inflation reset expectations, putting mortgage rates back on an upward trend, and more recent data and comments from Fed Chair [Jerome] Powell have only underscored inflation concerns,” said Danielle Hale, chief economist for Realtor.com. “Sales data over the next few months is likely to reflect the impact of now-higher mortgage rates.”
Even with rates higher, however, mortgage applications to purchase a home rose 5% last week compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index. Demand was still 10% lower than the same week one year ago, even with rates now 70 basis points higher than they were a year ago.
“Despite these higher rates, application activity picked up, possibly as some borrowers decided to act in case rates continue to rise,” said Joel Kan, MBA’s chief economist.
That may be short-lived, however, as affordability weakens even further. While there is more supply on the market now than there was a year ago, it is still at a very low level historically. That has caused homes to move faster as the competition increases. Anyone waiting for rates to drop significantly may be waiting for a while.
“Recent economic data shows that the economy and job market remain strong, which is likely to keep mortgage rates at these elevated levels for the near future,” said Bob Broeksmit, MBA’s president and CEO.
Orlando, FL, is a stunning Central Florida city with lakes, lush greenery, and dozens of theme parks, like Walt Disney World. There are countless museums, botanic gardens, event venues, and hidden gems, making it a great place to rent an apartment.
The average rent for a studio in Orlando is $1,685, while a one-bedroom apartment costs $1,754. ApartmentGuide has compiled a list of the most affordable neighborhoods in Orlando to rent this year.
7 Affordable Neighborhoods in Orlando, FL
From the charming Lake Eola Heights to the bustling Downtown Orlando, these Orlando neighborhoods offer options that fit into your budget. Check out our list and find the perfect neighborhood for your next apartment in Orlando.
1. Ventura 2. Lake Eola Heights 3. Pineloch 4. South Semoran 5. Baldwin Park 6. South Orange 7. Downtown Orlando
Read on to see what each neighborhood has to offer its residents.
1. Ventura
Average studio rent: $1,020 Average 1-bedroom rent: $1,275 Apartments for rent in Ventura
Ventura is the most affordable neighborhood in Orlando. The average rent for a one-bedroom unit is $1,275, making it about $500 less than Orlando’s average. There are plenty of reasons to love living in Ventura, from attractions like the Ventura Country Club to green spaces like Leroy Hoequist Park. For renters living in Orlando without a car, there are a few bus stops nearby.
2. Lake Eola Heights
Average studio rent: $1,050 Average 1-bedroom rent: $1,350 Apartments for rent in Lake Eola Heights
Lake Eola Heights is a charming area just east of downtown Orlando. This affordable neighborhood has many attractions, such as the picturesque Lake Eola and Walt Disney Amphitheaters. It’s also just a few blocks away from the Central Business District, so it’s a great area for commuters and those looking for plenty of nightlife options. For example, you’re close to the SAK Comedy Club, Orange County Regional History Center, and the Vanguard. Lake Eola Heights is near the Lynx Central Station, so catching public transit is easy.
3. Pineloch
Average studio rent: $1,399 Average 1-bedroom rent: $1,399 Apartments for rent in Pineloch
With an average one-bedroom rent of $1,399, Pineloch is the third-most affordable neighborhood in Orlando. This neighborhood is an excellent option as it’s near attractions like Lake Conway and the Market at Southside. There are also picturesque views of Lake Pineloch, so this area is great for those looking to be close to nature.
4. South Semoran
Average studio rent: $1,265 Average 1-bedroom rent: $1,623 Apartments for rent in South Semoran
South Semoran is the fourth-most affordable neighborhood in Orlando, located in the southeastern part of the city. This neighborhood is a great option if you’re looking for access to plenty of shops and restaurants, as there are plenty of places along South Semoran Boulevard. For example, you can easily access Barber Park, Lake Fredrica, and Lake Conway.
5. Baldwin Park
Average studio rent: $1,300 Average 1-bedroom rent: $2,150 Apartments for rent in Baldwin Park
Just about 3 miles from downtown, Baldwin Park is a stellar neighborhood if you want to live near Downtown while being close to nature. Baldwin Park is home to Lake Baldwin, a beautiful lake with a park and trails, and Blue Jacket Park. You can also check out the charming New Broad Street, which has several restaurants and cafes like Gator’s Dockside and Tactical Brewing Co.
6. South Orange
Average studio rent: $1,595 Average 1-bedroom rent: $1,639 Apartments for rent in South Orange
Next up is South Orange, the sixth-most affordable neighborhood in Orlando. South Orange is a charming area just south of downtown with plenty of parks, restaurants, and attractions. Make sure to enjoy the outdoors at Lake Lucerne or grab a meal at one of the neighborhood restaurants. There’s something for everyone living in South Orange.
7. Downtown Orlando
Average studio rent: $1,656 Average 1-bedroom rent: $1,758 Apartments for rent in Downtown Orlando
Claiming the final spot on our list of affordable neighborhoods in Orlando. Also known as the Central Business District, Downtown Orlando has a lively atmosphere and community feeling, with plenty of local cafes and restaurants along Church Street, such as Kres Chophouse and Artisan’s Table. You can also check out some of Downtown Orlando’s green spaces, like Lake Eola Park, or enjoy a night out at Dr. Phillips Center for the Performing Arts.
Methodology: Affordability based on whether a neighborhood has average studio and 1-bedroom rent prices under the city’s average. Average rental data from Rent.com in March 2024.