Quarterly house price to income ratio in the U.S. 2012-2022
Average annual real wages steadily rose until 2014 but have since remained stagnant. However, single-family house prices have continued to increase. This disparity has resulted in decreased housing affordability.
Average wages needed to buy home
The share of wages needed to buy a median priced home in the Unites States has been steadily increasing since 2012. This trend is reflected in the house price to income ratio as well. The availability of affordable housing will become more important, if the price to income ratio continues to develop in this way.