{"id":16618,"date":"2019-06-25T01:00:39","date_gmt":"2019-06-25T05:00:39","guid":{"rendered":"https:\/\/www.zoocasa.com\/blog\/?p=16618"},"modified":"2019-07-08T11:42:16","modified_gmt":"2019-07-08T15:42:16","slug":"income-group-to-buy-home-usa","status":"publish","type":"post","link":"https:\/\/www.zoocasa.com\/blog\/income-group-to-buy-home-usa\/","title":{"rendered":"The Income Group You Need to Be in to Buy a Home Across the US"},"content":{"rendered":"\n


Looking to buy a home in one of the major housing markets in the US? In the nation\u2019s priciest urban centres, you\u2019ll need an income among the top 20 \u2013 30% range of household earners in order to afford a median-priced home, according to new numbers compiled by Zoocasa<\/a>.<\/p>\n\n\n\n

The study crunches how much income a household would need to have to qualify for a mortgage on the median-priced home in 35 US cities, assuming they’re making a 20% down payment, have a mortgage rate of 4.5%, and are paying their mortgage off over a 30-year timeline. These affordability findings were then cross-referenced with household income data as reported by the United States Census Bureau to determine what income group buyers would need to fall into in order to afford local real estate. Median home prices were sourced from Realtor.com. Other expenses, such as taxes, insurance, heating, and debt repayment, were not factored into the calculation.<\/p>\n\n\n\n

The findings reveal that affordability is most widespread in cities located in the Midwest and Southern states, with the majority of households needing to be among only the top 60 \u2013 80% of income earners to afford a median-priced home. This reflects that local incomes remain well-aligned with real estate prices in these cities, signalling overall affordable market conditions.<\/p>\n\n\n\n

Related Read: The Income Group You Need to Be In to Buy a Home in These Canadian Cities<\/a><\/strong><\/p>\n\n\n\n

Detroit, Columbus, and Oklahoma City Most Affordable for Majority of Home Buyers<\/h2>\n\n\n\n

The top three most financially accessible housing markets in the US have median-priced homes that are affordable to 80% of their populations; they include Detroit, MI, where a median-priced home of $85,000 could be purchased with an income of $14,772, Columbus, OH, with a home price of $157,000, requiring an income of $27,276, and Oklahoma City, OK, where a $170,000 home could be purchased with an income of $29,544.<\/p>\n\n\n\n

Median-priced homes in the following cities were also affordable for the top 70% of households:<\/p>\n\n\n\n