Skip to content

Here's how much you have to make to afford a starter home in the U.S.

CBS News

Here's how much you have to make to afford a starter home in the U.S.

Americans must earn at least $76,000 a year to afford a basic home in the U.S., a sharp increase from the recommended income to become a homeowner before the pandemic, according to Redfin.

Only four years ago, people with annual earnings of $40,500 could afford a typical starter house, the online estate firm said in a new report. But the double whammy of rising mortgage rates and record high home prices has lifted the cost beyond the means of many Americans. 

"The pandemic housing-market boom changed the definition of a starter home," Redfin Senior Economist Elijah de la Campa said in a statement. "A decade ago, many people thought of a starter home as a small three-bedroom single-family house. Now that type of home could cost seven figures, especially in expensive parts of the country."

The typical full-time worker in the U.S. earns roughly $1,145 per week, or roughly $66,000, according to ...

Read full article

Additional Info

Source : CBS News

Powered By GrowthZone