1101 ET - A U.S. household now needs to earn $114,000 annually to afford a median-priced home, according to Realtor.com. That's up 70.1% from $67,000 six years ago. While it's clear that buying a home has become significantly more expensive, there are optimistic signs that today's market is slowly shifting in buyers' favor. Inventory is climbing, more sellers are adjusting their prices, and buyers are beginning to gain a bit more leverage in the market. Since 2019, the income required to afford the median-priced home has risen $47,000 to $114,000. This figure assumes a 30-year fixed mortgage, a 20% down payment, and no more than 30% of gross monthly income spent on housing. Active listings are up 30.6% year-on-year, surpassing April 2020 levels. (chris.wack@wsj.com)
(END) Dow Jones Newswires
May 01, 2025 11:01 ET (15:01 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.