Inventory for moderately priced starter homes is tight, and it’s driving up home prices, making homes less affordable for America’s middle class.
A recent study by Realtor.com sought to pinpoint where homes were the least affordable, analyzing the monthly median cost of housing in 500 metros.
The study divided the median monthly cost of housing for both renters and homeowners by the median monthly income, limiting its ranking to just one metro per state. Here are the cities it highlighted as having the least affordable housing:
1. Santa Cruz, California
Median list price: $895,800
Median monthly housing cost: $1,840
Median household income: $73,663
Share of income going toward housing: 30%
2. Miami, Florida
Median list price: $385,100
Median monthly housing cost: $1,280
Median household income: $51,758
Share of income going toward housing: 29.7%
3. Grants Pass, Oregon
Median list price: $334,600
Median monthly housing cost: $918
Median household income: $40,705
Share of income going toward housing: 27.1%
4. Atlantic City, New Jersey
Median list price: $240,000
Median monthly housing cost: $1,290
Median household income: $57,514
Share of income going toward housing: 26.9%
5. New York, New York
Median list price: $515,100
Median monthly housing cost: $1,588
Median household income: $72,205
Share of income going toward housing: 26.4%
6. Kahului, Hawaii
Median list price: $928,800
Median monthly housing cost: $1,594
Median household income: $72,743
Share of income going toward housing: 26.3%
7. Jacksonville, North Carolina
Median list price: $203,300
Median monthly housing cost: $1,028
Median household income: $48,162
Share of income going toward housing: 25.6%
8. Bellingham, Washington
Median list price: $415,000
Median monthly housing cost: $1,203
Median household income: $56,419
Share of income going toward housing: 25.6%
9. Barnstable Town, Massachusetts
Median list price: $525,00
Median monthly housing cost: $1,411
Median household income: $68,048
Share of income going toward housing: 24.9%
10. Carson City, Nevada
Median list price: $347,100
Median monthly housing cost: $1,012
Median household income: $49,341
Share of income going toward housing: 24.6%
