But don’t worry, the FED and White House say everything is fine…
Americans are facing a harsh reality as the economic landscape continues to decline, putting a strain on their financial well-being. Let’s take a closer look at some alarming statistics that highlight the challenging situation many individuals and families are currently experiencing.
Median mortgage payment now $2,800 per month
Owning a home has long been considered a symbol of stability and financial security. However, the median mortgage payment in the United States has reached a staggering $2,800. This places a significant burden on homeowners, particularly those with middle-class incomes, as a substantial portion of their monthly budget goes towards housing expenses.
Median rent now $1,850 per month
It now costs nearly $1,000/month more to buy a house than to rent. Traditionally, renting has been seen as a more affordable option compared to home-ownership. However, the gap between renting and buying has widened significantly. The median rent price stands at $1,850, while the cost of owning a home exceeds that amount by nearly $1,000 per month. This disparity makes it increasingly difficult for aspiring homeowners to save for a down payment or break free from the cycle of renting.
The average new car payment is now at $750/month.
Transportation is a vital aspect of everyday life for many Americans, and for those who rely on cars, the financial burden is becoming overwhelming. The average monthly payment for a new car has reached $750. This substantial expense strains the budgets of individuals and families, leaving them with less disposable income for other necessities.
The average interest rate on a used car loan just hit a record 14%.
Not only are car payments taking a toll on Americans’ finances, but the interest rates on used car loans are also reaching alarming heights. With the average interest rate on a used car loan hitting a record 14%, individuals who opt for a used car to save money are still faced with exorbitant borrowing costs. These high rates further exacerbate the financial strain on already struggling households.
Credit card debt is set to cross $1 trillion for the first time ever with record interest rates of 25%
Credit card debt has become a significant concern in the United States, with balances reaching unprecedented levels. It is projected to surpass $1 trillion for the first time ever. Adding to the worry is the fact that interest rates on credit card debt are at a record high of 25%. This means that individuals carrying a balance on their cards are subject to substantial interest charges, making it even more challenging to escape the debt trap.
Basic necessities are becoming unaffordable for Americans
The increasing costs of housing, transportation, and debt repayment are taking a toll on Americans’ ability to afford basic necessities. Essential items like food, healthcare, education, and utilities are becoming increasingly unaffordable for a growing number of individuals and families. This situation leaves many struggling to make ends meet and forces them to make difficult choices regarding their well-being and quality of life.
Bottom Line: The declining economic reality in the United States is hitting hard, with various factors contributing to the financial strain on individuals and families. The rising costs of housing, transportation, credit card debt, and basic necessities are creating a challenging environment where financial stability and security are increasingly elusive.
