Adobe Stock/Jeff Metzger

MarketWatch’s Andrea Riquier has highlighted a new chart from St. Louis Fed's FRED economics that illustrates the shortage of affordable homes in colorful graph. It shows before the housing bubble burst in 2006, builders were constructing homes running, on average, under $150,000. Now, the situation yields a different result. Check out her findings below.

Earlier this year, there was a rebound in homes built in the next priciest range of $150,000 to $199,999. But even that’s trailed off.

The price bracket that seems to be picking up the most steam is the $300,000-$399,999 market segment. That makes sense; the median-priced new home was $309,700 in October.

That’s still pretty pricey for many would-be buyers, but it’s going in the right direction. The October median price was lower than year-ago levels for the second month in a row, in contrast to existing-home prices, which continue to surge higher.

Read More