Affordability had largely stabilized after several difficult years, but the typical US household still earned well below what was needed to comfortably buy a home.
The gap narrowed because household income growth slightly outpaced housing costs, making purchase budgets somewhat easier to manage even as overall affordability remained strained.
Housing costs took a smaller share of buyer income than a year earlier, and a larger share of listings fit median-income budgets.
An economist said conditions had become more manageable for house hunters, with a buyer's market across most of the country, more choices, and negotiating power.
Looking ahead, economists said affordability could improve slightly by year-end, though higher rates, oil-price jumps, or stronger inflation could reverse that progress.