BAKERSFIELD, Calif. (KERO) — For many would-be home buyers, the search for an affordable house is becoming increasingly frustrating as prices continue to climb.
Whether browsing listings online or touring homes in person, rising costs are hard to ignore. Experts say part of the increase is tied to economic uncertainty and ongoing conflict involving Iran, which has contributed to higher oil prices and inflation.
“The prices of houses are just so high right now just no way would I purchase right now,” said Flossie White, a Bakersfield mother of three who has been searching for a home.
White said home ownership represents more than just a place to live.
“You want to, as a parent, have that legacy for your children. A legacy includes owning a home and passing down that home,” she said.
As global tensions persist, economists point to a ripple effect: rising oil prices fueling inflation while economic growth slows. That combination is now impacting the housing market.
According to local real estate broker Kevin Oliver, mortgage rates have also moved in the wrong direction for buyers.
Just before tensions escalated, the average 30-year fixed mortgage rate nationwide was around 5.9%. It has since climbed closer to 6.5%, increasing monthly costs for borrowers.
“We were expecting some rate cuts this year, even though it was held last time,” Oliver said. “Now I think they’re going to pull back a little, and they’re going to even possibly raise a little bit.”
In Kern County, home prices have also surged in recent months. The average home previously sold for about $330,000 to $350,000 but is now approaching $400,000.
Oliver said a shortage of available homes in Bakersfield is contributing to higher prices and slowing market activity, further reducing affordability for first-time buyers.
“If they can’t get something in the 5s, they’re looking for something in the 6s it affects their monthly mortgage,” he said.
Despite the challenges, White said the goal of home ownership remains deeply personal and rooted in her upbringing.
“For my children, it was ingrained in me as a child that you would one day want to become a homeowner,” she said. “Even for my child, she wants to be a homeowner too so much so she has built her own home.”
Even as that dream feels out of reach for now, White remains hopeful.
“Every now and then you get a little worried, ‘Oh, I’m not going to obtain that American dream,’” she said. “But I have faith that one day I will be a homeowner.”
Experts say easing global tensions could help stabilize some of the economic pressures driving housing costs higher, though affordability challenges may persist.
Stay in Touch with Us Anytime, Anywhere:
