Buying a home is getting harder across the country. New data show that household incomes are not keeping up with rising housing costs, and many families are feeling the pressure. A recent breakdown from Visual Capitalist reveals that most states now require a six-figure income to afford a median-priced home.
As a result, many four person households can no longer qualify for a standard three bedroom home, even after meeting traditional lending guidelines.
How Utah Fits Into The National Picture
Utah ranks on the higher end of the affordability scale. According to the report, buyers in the state need an income of around 169k to qualify for a median priced home. This puts Utah well above the national average.
Here in the St. George area, many locals already see this trend playing out. Prices climbed quickly, and wages did not keep pace. Because of that, the gap between income and housing cost continues to widen.
Most And Least Affordable States
Hawaii remains the most expensive market in the country. A median three bedroom home there costs close to 797k, and buyers must earn about 229k to afford it.
On the opposite end, West Virginia is the most affordable state. Buyers there need to make about 71k, which is comfortably below the state’s median household income. This makes entry level housing far more accessible.
Another Report Confirms The Same Pattern
A separate study from Bankrate also highlights the growing issue. More than 75 percent of homes nationwide are now considered unaffordable for the typical household. This follows the standard guideline that housing costs should not rise above 30 percent of income.
Together, these studies show that homeownership is becoming more difficult for families across the United States. Many buyers will need higher incomes or new strategies to make a purchase work in today’s market.
