RealtyHop released its Housing Affordability Index in December. According to a study, homeowners spend more than 30% of their income on their homes in 75 of the 100 largest cities.
As a result of falling home prices in the second half of the year, is it time for you to start looking for your own home?
According to a report from RealtyHop, a service that provides information about home prices, no. According to its Housing Affordability Index, homeowners spend more than 30% of their income on housing costs in 75 of the nation’s largest 100 cities.
In order to produce an index of the burden of homeownership and housing affordability, the study looked at the 100 largest cities in the United States.
A common definition of unaffordable homes is that way. The index takes into account the median home price and the average household income.
The index assumes a 5.5% interest-rate 30-year fixed-rate mortgage. The majority of buyers would actually pay more, making more homes unaffordable. In the week ending December 29, the 30-year fixed mortgage rate averaged 6.42 percent.
According to the report, “As interest rates continue to climb, and housing sentiment decreases, many potential homebuyers continue to wonder whether they’ll ever be able to purchase a home,”
However, it also contains good news. For the second consecutive month in December, 57% of cities made homebuying more affordable. As a result, the 30% rule may soon apply to more cities.
The following statistics were used in the calculation of the index:
The most expensive housing market in the United States was Miami, Florida, where the median asking price for a home increased by 0.50 percent to $598,000.
A family with a household income of $44,581 in Florida would have to spend 85.67 percent of their income on housing, according to RealtyHop.
Los Angeles, California came in second on the list. Despite a $1,000 decrease in the median home purchase price, California remains the second least affordable city for the sixth month in a row.
With an average salary of $69,695, someone can expect to spend 83.06 percent of their income on housing expenses like mortgage payments and taxes, according to RealtyHop.
With a 1.93 percent increase in the median purchase price, New York City is the third least affordable city in the United States. Housing will take up 78.97% of a resident’s income, or $4,483.45 per month, for a salary of $68,129 on average.
According to RealtyHop, the average price of a home in New York City is still lower than it was this summer when homeowners spent 84.61 percent of their income on housing.
Starting with the most expensive, here are the five housing markets in December with the lowest affordability.
These are, in order, the five most affordable housing markets, beginning with the very most.
Philanthropic work plays a key role in addressing the most important challenges faced by societies… Read More
Global health surpasses national boundaries to produce widespread impacts across communities throughout the world. Different… Read More
As a branding expert, PR manager, and rising name in real estate and automobile, Syeddubai… Read More
Even though parenting is described as one of the most rewarding journeys, it is indeed… Read More
Successful deal sourcing is a cornerstone of investment planning, influencing everything from the quality of… Read More
Fort Collins, Colorado, is a gateway to unforgettable winter experiences, offering an ideal blend of… Read More