Where can homebuyers purchase an affordable home? Well, according to the NAHB, housing affordability is at a near to record low. But, some regions are more expensive, and some are less.
Lansing-East Lansing, Mich., was the nation’s most affordable major housing market, defined as a metro with a population of at least 500,000. There, 79.3% of all new and existing homes sold in the fourth quarter were affordable to families earning the area’s median income of $97,800.
Top five affordable major housing markets:
- Lansing-East Lansing, Michigan
- Harrisburg-Carlisle, Pennsylvania
- Indianapolis-Carmel-Anderson, Indiana
- Dayton-Kettering, Ohio
- Akron, Ohio
Meanwhile, Bay City, Michigan, was rated the nation’s most affordable small market, with 88.3% of homes sold in the fourth quarter being affordable to families earning the median income of $82,300.
Top five affordable small housing markets:
- Bay City, Mich.
- Elmira, N.Y.
- Davenport-Moline-Rock Island, Iowa-Ill.
- Cumberland, Md.-W.Va.
- Springfield, Ohio
For the 13th straight quarter, Los Angeles-Long Beach-Glendale, Calif., remained the nation’s least affordable major housing market. There, just 2.7% of the homes sold during the fourth quarter were affordable to families earning the area’s median income of $98,200.
Top five least affordable major housing markets—all located in California:
- Los Angeles-Long Beach-Glendale
- Anaheim-Santa Ana-Irvine
- San Diego-Chula Vista-Carlsbad
- Oxnard-Thousand Oaks-Ventura
- San Francisco-San Mateo-Redwood City
The top five least affordable small housing markets were also in the Golden State. At the very bottom of the affordability chart was Santa Maria-Santa Barbara, Calif., where 5.2% of all new and existing homes sold in the fourth quarter were affordable to families earning the area median income of $107,300.
Top five least affordable small housing markets—all located in California:
- Santa Maria-Santa Barbara
- San Luis Obispo-Paso Robles
- Napa
- Salinas
- Merced
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