“Since the peak of the pandemic in the spring of 2020, lending standards have bounced around but, ultimately, trended toward looser conditions.
“The modest increase in house-buying power was due to the 3.6 percent year-over-year increase in household income,” Fleming said.
“The increase in the average length of time someone lives in their home had the only negative impact on housing market potential compared with one year ago, reducing it by 116,000 potential home sales.
“In 2022, the average length of time someone lives in their home appears poised to rise again, especially as mortgage rates increase, which will prolong the housing supply shortage and dampen housing market potential.