DETROIT ~ More Americans are falling behind on mortgage and auto loan payments even as unemployment remains relatively low, highlighting financial pressure facing many households amid years of elevated living costs.
Diane Swonk, chief economist at KPMG US, said on 760 WJR’s ‘JR Morning that inflation remains a major driver of the problem. “We have had just this extraordinary rise in inflation over the last more than five years, which has accumulated and left the level of prices too high for too many,” Swonk said. She said rising prices have disproportionately affected lower-income households.
PODCAST:
Aug. 13, 2026 ~ More Americans are missing mortgage and auto loan payments, but is it a warning sign for the broader economy? KPMG US Chief Economist Diane Swonk joins ‘JR Morning to explain what’s behind the surge in delinquencies, how inflation continues to impact families, and why many consumers still feel like they’re losing ground.
(CONTINUED) Swonk said affordability challenges extend beyond mortgage payments. Property taxes, homeowners insurance costs, condominium association fees, vehicle prices, and fuel expenses have all increased, making it harder for some families to meet monthly obligations.
She said many homeowners have accumulated substantial equity but may not have the credit needed to access it. Swonk also pointed to affordable housing shortages and said state and local governments can help by supporting new housing development and reviewing zoning policies. She added that inflation continues to outpace wage gains for many workers, leaving consumers feeling financially stretched despite broader economic growth.
