Carla Javier

It all ultimately boils down to new supply, says Ben Keyes at the University of Pennsylvania's Wharton School.

Where it's easier to build more, he says.

When units are vying for tenants, he says they can get perks, negotiate with landlords, or even move at a discount.

But, he says, not all renters get that flexibility.

The real estate tool Zillow reports that its data show renting is getting more affordable, says senior economist Orfei Divungi.

He says with incomes increasing and rent growth moderating, especially compared to the big pandemic increases…

He says the people seeing big affordability improvements are those young renters in smaller apartment units.

I'm Carla Javier for Marketplace.

To be clear, homes aren't suddenly becoming way more affordable for everyone, says Orfeh Divungi at Zillow.

He says there are three factors.

He says that median income households buying today have to spend roughly a third of their income on mortgage payments.

And Zillow forecasts that home buying in some areas could become even closer to affordable by the end of the year.

Spending no more than 30% of income on home payments, including property taxes and insurance, is the affordability rule of thumb, says Eric Maribodjuk at the University of North Carolina at Chapel Hill.

For Jessica Lautz at the National Association of Realtors, affordability this year?

I think it's a very mixed picture.

She says she'll be watching those all-important mortgage interest rates too.

And if more inventory comes onto the market and brings prices down.

I'm Carla Javier for Marketplace.

Small business owners seem particularly concerned about the tight labor market, says Holly Wade, an economist at the National Federation of Independent Business Research Center.

Meaning they can't find qualified candidates for open positions.