06:05 AM EST, 11/13/2025 (MT Newswires) -- United States housing affordability inched higher in the latest month to one of its better levels of the past three years -- but it's still quite weak, said Bank of Montreal (BMO).

The recent decline in long-term mortgage rates has slightly improved U.S. affordability, but even with the uptick, it's still close to the lowest ebb since the late 1980s, noted the bank.

Canada, too, has seen affordability improve in the past two years, but from the worst levels in decades, stated BMO.

The combination of lower home prices and the big rate cuts have helped, but things aren't "normal" yet, pointed out the bank.

It will likely require some time for incomes to rise, prices to drift -- possibly lower yet -- and probably slightly lower rates to restore affordability, added BMO.