The monthly cost of homeownership ticks up
The median monthly cost for U.S. homeowners with a mortgage rose from $1,960 in 2023 to $2,035 last year, according to figures the U.S. Census Bureau released Thursday. The increase was driven mainly by higher mortgage and insurance costs, the bureau said.
"One way we measure housing affordability is based on how much households spend on selected costs such as mortgage payments, insurance, taxes, utilities, and various fees," Jacob Fabina, a Census Bureau economist, said in a statement. "In 2024, the median percentage of income householders with a mortgage spent on these costs was 21.4%, which points to an increased burden on homeowners."
Census officials drew their conclusions after analyzing data from its 2024 American Community Survey. The survey indicated that residents in four U.S. states pay the most in monthly costs :
- California: $3,001
- Hawaii: $2,937
- New Jersey: $2,797
- Massachusetts: $2,755
The survey also indicated that the nation had roughly 86.6 million homeowners in 2024, of which about 21.6 million paid either a condominium fee or a homeowners association fee. The monthly median condo/HOA fee last year was $135, the Census Bureau said. Nevada (51%), Arizona (45%), and Florida (44%) had the nation's highest concentration of homeowners who pay such a fee.
Consumer confidence in economy wanes
A survey that the University of Michigan released Friday indicates that U.S. consumers' feelings about the economy have worsened.
The Index of Consumer Sentiment fell from 58.2 in August to 55.4 in September. The sentiment score fell 21 percentage points when compared to September 2024. Researchers who coordinate the survey said Trump administration tariffs are partly to blame for the dip in sentiment.
"Trade policy remains highly salient to consumers, with about 60% of consumers providing unprompted comments about tariffs during interviews, little changed from last month," Joanne Hsu, the school's director of surveys of consumers, said in the survey results. "Still, sentiment remains above April and May 2025 readings, immediately after the initial announcement of reciprocal tariffs."
'No Tax on Tips' jobs list includes home repair workers
The U.S. Department of the Treasury released a preliminary list of 70 occupations in which workers will no longer be taxed on the tips they receive. Among the 70 are home repair workers, landscapers and tradespeople.
Chimney sweepers, electricians, flooring installers, gardeners, handypersons, house painters (interior and exterior) HVAC repair workers, pool cleaners, plumbers and roofers are all "No Tax on Tips" workers, the Treasury department said. Locksmiths, washing machine repair workers, and window washers also made the preliminary list.
"Tipping is not common in the residential construction industry, but certain home service and home repair professionals may receive tips," JP Delmore, assistant vice president of government affairs at the National Association of Home Builders, said in a video posted Wednesday. "However, not all occupations are eligible for this new tax benefit — only occupations that customarily and regularly receive tips."
The list also includes jobs unrelated to owning a home, such as bakers, bellhops, nightclub DJs, and maids.
"Treasury and the IRS anticipate that the official proposed list will be substantially the same as this preliminary list," the department said.