First-Time Homebuyers Are Getting Squeezed Paying Their Mortgage

First-time buyers are spending far more than recommended on mortgage payments after borrowing costs in the US surged.

Those consumers typically spent 37.8% of their income on mortgage payments in the third quarter, up from 36.8% in the prior period, the National Association of Realtors said Thursday in a statement. The group said the payments are considered unaffordable if the monthly bill, including principal and interest, is more than 25% of a family’s income.