According to data compiled by the National Association of Realtors, buying an average home is now out of reach for the majority of Americans, as the annual household income needed to afford a median-priced home without too much financial strain has shot up 60 percent since January 2022. Back then, the minimum income to buy a mid-range house – around $380,000 at the time – was $74,000, roughly in line with the national median income. Since then a massive affordability gap has opened up, as a required income of $120,000 stands opposite a median income of around $84,000 – more than 40 percent shy of what would be needed.
Majority of Americans Can No Longer Afford an Average House
Home Affordability
Description
This chart compares the annual income required to afford a median-priced home in the U.S. to the median household income in the country.
