Home Affordability Key Stats
- The salary needs to by the average single-family home in the United States is $107,107.
- Mortgage interest rates moved from 3.08% to 6.66% year-over-year, an 74% increase.
- Homebuyers face 20-year-high mortgage rates but are still below the 8% historical average.
The Average Income Needed to Buy a House
Comparing the latest data, the income required to buy the average single-family home in the United States rose from $75,969 in Q4 2021 to Q4 $107,107 in 2022, an increase of $31,193.
What a difference a few months make. In the early summer of 2022, interest rates hovered at 3.10%. Then, the Federal Reserve began its effort to combat inflation by implementing successive interest rate hikes (.75 basis points each) until mortgage rates reached nearly 7%. The average 30-year rate in Q4 2022 was 6.66%. up from 3.08% in Q4 2021.
Below you will find year-over-year changes in the income needed to buy a single-family home in the United States, both by the national average and among the top cities.
Salary Needed to Buy a Home in the Top 50 Cities
| U.S. Metro | Q4 2022 Mdn Price | Income Needed | Q4 2021 Mdn Price | Income Needed | Y-O-Y Income Change |
|---|---|---|---|---|---|
| National Avg. | $378,700 | $107,107 | $364,300 | $75,969 | $31,139 |
| Atlanta | $353,300 | $99,924 | $339,500 | $70,797 | $29,126 |
| Austin | $478,900 | $135,447 | $485,400 | $101,222 | $34,225 |
| Baltimore | $363,500 | $102,808 | $353,800 | $73,779 | $29,029 |
| Birmingham | $295,700 | $83,633 | $276,200 | $57,597 | $26,036 |
| Boston | $657,900 | $186,073 | $635,700 | $132,565 | $53,509 |
| Buffalo | $227,800 | $64,428 | $216,700 | $45,189 | $19,239 |
| Charlotte | $395,500 | $111,859 | $370,300 | $77,220 | $34,639 |
| Chicago | $323,200 | $91,410 | $318,100 | $66,334 | $25,076 |
| Cincinnati | $255,300 | $72,206 | $244,500 | $50,986 | $21,220 |
| Cleveland | $208,700 | $59,026 | $195,700 | $40,810 | $18,216 |
| Columbus | $286,700 | $81,087 | $272,800 | $56,888 | $24,199 |
| Dallas | $375,000 | $106,061 | $350,000 | $72,987 | $33,074 |
| Denver | $640,000 | $181,011 | $617,600 | $128,790 | $52,220 |
| Detroit | $237,000 | $67,031 | $240,800 | $50,215 | $16,816 |
| Hartford | $318,200 | $89,996 | $295,000 | $61,517 | $28,479 |
| Houston | $337,900 | $95,568 | $316,900 | $66,084 | $29,484 |
| Indianapolis | $297,200 | $84,057 | $269,100 | $56,116 | $27,940 |
| Jacksonville | $386,000 | $109,172 | $347,000 | $72,361 | $36,811 |
| Kansas City | $298,200 | $84,340 | $279,400 | $58,264 | $26,075 |
| Las Vegas | $441,300 | $124,813 | $428,400 | $89,336 | $35,477 |
| Los Angeles | $829,100 | $234,494 | $840,200 | $175,210 | $59,284 |
| Louisville | $251,200 | $71,047 | $242,100 | $50,486 | $20,561 |
| Memphis | $254,000 | $71,839 | $260,700 | $54,365 | $17,474 |
| Miami | $550,000 | $155,556 | $500,000 | $104,267 | $51,289 |
| Milwaukee | $335,000 | $94,748 | $309,800 | $64,604 | $30,144 |
| Minneapolis | $365,600 | $103,402 | $352,000 | $73,404 | $29,999 |
| Nashville | $400,100 | $113,160 | $372,100 | $77,595 | $35,565 |
| New Orleans | $275,900 | $78,033 | $265,900 | $55,449 | $22,584 |
| New York | $594,300 | $168,085 | $566,800 | $118,197 | $49,889 |
| Oklahoma City | $222,200 | $62,845 | $201,500 | $42,019 | $20,825 |
| Orlando | $422,700 | $119,552 | $380,000 | $79,243 | $40,309 |
| Philadelphia | $329,500 | $93,192 | $306,600 | $63,936 | $29,256 |
| Phoenix | $450,400 | $127,386 | $445,800 | $92,964 | $34,422 |
| Pittsburgh | $218,000 | $61,657 | $225,000 | $46,920 | $14,737 |
| Portland | $567,500 | $160,506 | $546,700 | $114,005 | $46,500 |
| Providence | $431,700 | $122,097 | $400,500 | $83,518 | $38,580 |
| Raleigh | $431,000 | $121,899 | $419,000 | $87,376 | $34,524 |
| Richmond | $365,000 | $103,233 | $347,000 | $72,361 | $30,872 |
| Riverside | $540,000 | $152,728 | $530,000 | $110,523 | $42,205 |
| Sacramento | $500,000 | $141,415 | $515,000 | $107,395 | $34,020 |
| Salt Lake City | $239,000 | $67,596 | $220,700 | $46,023 | $21,573 |
| San Antonio | $524,800 | $148,429 | $505,700 | $105,455 | $42,973 |
| San Diego | $329,800 | $93,277 | $312,500 | $65,167 | $28,110 |
| San Francisco | $857,000 | $242,385 | $845,000 | $176,211 | $66,174 |
| San Jose | $1,230,000 | $347,880 | $1,310,000 | $273,179 | $74,701 |
| Seattle | $1,577,500 | $446,163 | $1,675,000 | $349,294 | $96,870 |
| St. Louis | $708,900 | $200,498 | $700,000 | $145,973 | $54,524 |
| Tampa | $399,000 | $112,849 | $355,000 | $74,029 | $38,819 |
| Virginia Beach | $305,400 | $86,376 | $285,000 | $59,432 | $26,944 |
| Wash. D.C. | $550,100 | $155,584 | $537,400 | $112,066 | $43,518 |