Let me be straight with you.That’s kind of my thing.

When headlines scream “housingcrisis,” most people stop asking whether that story is complete. So here’s thefull picture — rates, home prices, wages, and one uncomfortable truth nobodyelse is saying out loud.

First, The Rate Reality

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Yes, rates have climbed. Thatmakes buying harder than it was when rates were in the 3s. I’m not going tosugarcoat that. But uncertainty drives rates, and right now we’ve got plenty ofit — global tension, oil prices, inflation. Will rates drop? Maybe — expertslean toward the low-to-mid 6s at best. So if you’re waiting for 4% rates beforeyou buy, I’d encourage you to think hard about what you’re putting your life onhold for.

Here’s what the headlines miss:wages are growing faster than home prices — about 4% vs. 2%year-over-year. And existing home prices are largely stable. No crash, nodramatic runup — just slow, steady growth. Buyers have more choices, morenegotiating power, and more time. Rates are real, but they’re not the wholestory.

Now Let’s Talk About the Uncomfortable Part

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People point to mortgagepayments and say homes are unaffordable. But I’d argue we’re asking the wrongquestion. It’s not just what does housing cost — it’s what are we choosing tospend our money on instead.

Rates in 1980 averaged 13.74%and peaked near 18.6% in 1981. Today’s 6–7% isn’t historically extreme.Not even close. And yet somehow, that generation bought homes.

Here’s what’s interesting: backthen, Americans actually spent a larger share of their income on food — notbecause they were eating out more, but because food production was lessefficient and groceries cost more relative to income. By 2000, the share ofincome going to food had been cut nearly in half compared to 1960, largely dueto agricultural efficiency gains.

But something shifted. Even asgrocery costs got more manageable, we started spending dramatically more oneating out. Today, Americans spend more on food away from home than ongroceries — an all-time record. The average American spends $166 per monthper person just dining out. Fast food made up 6% of calories in the late1970s — it’s 16% today. And that’s before you add:

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•     iPhone + data plan: ~$1,200–1,800/year perperson

•     Streaming subscriptions: Netflix, Hulu, Disney+,Spotify, Apple TV…

•     DoorDash, Uber Eats, Amazon same-day delivery (youknow who you are)

•     Car payments on vehicles that cost more thanstarter homes once did

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The family paying 15% interestin 1982 wasn’t doing all of that. They made trade-offs because they understoodsomething we’ve quietly forgotten: real estate is how everyday familiesbuild real wealth. You didn’t buy the house and have everyconvenience — you bought the house instead of certain conveniences.

That mindset didn’t disappearbecause things got harder. It disappeared because our culture made spendingeasy and saving feel optional.

Here’s What I Know for Certain

The buyers I work with aren’twaiting for the perfect rate or for the market to fix itself. They’re doing themath, making trade-offs, and making moves.

If you’re serious about buying— first home, move-up, or investment — I want to have a real conversation. Nota rate quote. A conversation about your full financial picture and what’sactually possible right now. I work with W-2 and self-employed buyers andspecialize in finding solutions, not handing out rejections.

LisaWells

CrossCountryMortgage | Minnetonka, MN | NMLS #460442

📱612-202-1731  |  ☎️ 612-424-7252

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lisawellsloans.com

Let’s run the real numbersfor your situation. No pressure — just clarity.

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