The American dream of home ownership is starting to resemble a nightmare with name buyers and builders caught in the inflation-high interest rates squeeze. The Commerce Department announced this week that the average new house in April cost a record $84,000 and sales of new dwellings dropped to their second lowest annual rate in 11 years. Thus, one of the unsolved problems of the Carter Administration continues unabated – a great challenge that cries out for an answer as President Reagan and Congress grapple with difficult economic N issues. l Only last September. i Reg. James G. Martin, RN. . lamented in Congress that “the cost of buying a home has more than doubled while Jimmy Carter has been president. ” When Carter took office, he said, the FHA interest rate was at 8 percent and the average sales price of a new single family home was $51,300. But in September the interest rate was 12’/z percent (down from 14 percent in April, 19801 and the latest average sales price of a new single family home was $77,900. The worsening condition for the home buyer can be seen in the new Commerce Department figures. The average cost of a new house varied by region: Northeast, $94,700; West, $91,400; North Central, $90,700; and South, $76,100. At the mortgage interest rates quoted during the first 10 days of April this year – an average of 15.25 percent across the country – the monthly principal and interest payment on an average house, with 10 percent down, would be $943.49, estimated by the Mortgage Bankers Association. News dispatches quoted the National Association of Home Builders as saying fewer than 3 percent of American families can afford to buy the average house. based on generalized income standards. The Wall Street Journal quoted the National Association of Realtors as saying housing construction and mortgage rates will improve during the next year. leading a slow world-wide recovery. The short-term outlook is dim. “although there’s op timism over the next five years,” states Hugh Graham, vice president of forecasting for the trade group. Government sources have said there’s little chance for a “quick fix” of the inflation and high interest rates situation. In any case, the condition is crucial and demands the urgent attention of the highest echelons of government and industry.