While mortgage payments fell 4.8% from a year earlier, earnings growth of 2.9% contributed to a 7.5% annual improvement in affordability, the association said. The Builders’ Purchase Application Payment Index, which focuses on newly built single-family homes, showed the median mortgage payment rose to $2,173 in December, up from $2,157 in November. On an annual basis, the national median mortgage payment was down $102, or 4.8%, from December 2024. Conventional loan applicants saw a median payment of $2,036, down from $2,063 in November and $2,128 in December 2024. MBA’s PAPI measures how new mortgage payments change over time relative to income.