I just came across an interesting article on CNNMoney that breaks down the top and bottom 5 places to live in this country, based on affordability.
Most Affordable
- Indianapolis - IN
Median home price: $105,000
Median income: $68,100
Affordability score: 94.5% - Youngstown, OH
Median home price: $72,000
Median income: $54,300
Affordability score: 93.9% - Detroit, MI
Median home price: $84,000
Median income: $57,100
Affordability score: 92.2% - Warren, MI
Median home price: $140,000
Median income: $79,000
Affordability score: 91.8% - Grand Rapids, MI
Median home price: $103,000
Median income: $63,100
Affordability score: 91.4% - 5th best
These are the top 5 MOST affordable places to buy a home, in the U.S.A. To look deeper into this data you will discover these are areas where the home prices are depressed... a lot of these markets are being hurt big time by massive foreclosures... which is a good thing right now for investors and buyers.
Notice 3 of the top 5 are in Michigan...
And now, for the LEAST affordable places to call home.
The Least Affordable Real Estate Markets To Buy a House
- New York City, NY
Median home price: $425,000
Median income: $64,800
Affordability score: 19.2% - San Francisco, CA
Median home price: $598,000
Median income: $96,800
Affordability score: 23.6% - Honolulu, HI
Median home price: $598,000
Median income: $96,800
Affordability score: 23.6% - Santa Ana, CA
Median home price: $598,000
Median income: $96,800
Affordability score: 23.6% - Nassau/Suffolk, NY
Median home price: $380,000
Median income: $101,800
Affordability score: 39.6% - 5th worst
When you look at these markets, you'll see that their pricing is still high compared to median incomes in those areas... and when you look a bit more deeply at why... most of these areas are places that a lot of companies are either already located or are locating too... and they are in typical areas that tend to be at the top end of the pricing scale anyway and have not been affected as much by foreclosures (at least... yet).
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