Right now, America is facing what might be its most severe housing crisis since the Great Depression. Home sales have plummeted to their lowest levels in over a decade. Young people are being priced out entirely. Construction sites sit stalled across the nation. The housing market, which has been the backbone of American wealth for generations, is entering what experts are calling a “deep freeze.” And nobody seems to know how to stop it.
Here’s what this looks like for everyday Americans: imagine saving for years to buy your first home, only to discover that the average homebuyer is now 56 years old, the highest in recorded history. That’s the reality for millions of American families today, and the numbers reveal just how alarming the situation really is.
Millions of Americans hit with bad credit after missed student loan payments
“Credit scores dipped by more than 100 points for 2.2 million delinquent student loan borrowers, and 150 points or more for more than 1 million in the first three months of 2025, according to an analysis by the Federal Reserve Bank of New York. It’s the kind of credit score drop that follows a personal bankruptcy filing. Roughly 2.4 million of those Americans previously had favorable credit scores and would have qualified for cars loans, mortgages or credit cards before these delinquencies were reported*, researchers said.”*
“There are signs that Americans are already having trouble accessing credit. Nearly 42 percent of mortgage refinance applications were turned down in February, up from 27 percent a year earlier, according to a New York Fed survey.”
Highly qualified buyers. Coming up next, FHA COVID-19 Recovery Loss Mitigation Options ending on September 30 of this year.
The race to the bottom has started in real estate. It will pick up pace as the months go by.
— Jon Flynn (@JonFlynnREstats) May 25, 2025