NJ Counties With Most Affordable Home Prices: New Data
A home is generally considered affordable if payments on a 30-year fixed-rate mortgage don't exceed 30 percent of pretax income: NBC. A new analysis by NBC News has found that home ownership in New Jersey is more affordable than it has been in a decade due to high home costs, interest rate hikes, and a shortage in the nation's housing supply. The affordability gap is an estimate of the difference between an area's median household income and payments on a median-priced home in that area. The analysis suggests that a person with income at the same level could afford a home in 1,321 out of 2,801 counties in the United States or just one county - Cumberland County, New Jersey. Two-income families have a better chance of finding a home they can afford. A median salary of $60,690 in Massachusetts, the top-paying state, puts affordable housing out of reach in that state. The study also noted widespread geographical differences in the affordability gap.
gepubliceerd : 10 maanden geleden door Alexis Tarrazi in Finance
NEW JERSEY — Homeownership, once equated with achieving the American Dream, is farther out of reach for many New Jersey residents than it has been in a decade, according to a new analysis.
NBC News, which conducted the analysis, said the affordability gap for homebuyers is nearing a 10-year high amid high home costs, interest rate hikes and a shortage in the nation’s housing supply. The affordability gap is an estimate of the difference between an area’s median household income and payments on a median-priced home in that area. A home is generally considered affordable if payments on a 30-year fixed-rate mortgage don’t exceed 30 percent of pretax income, according to NBC.
The 2023 before-tax median household income in New Jersey was $54,860, according to the Bureau of Labor Statistics. The NBC analysis suggests a person with income at the level would be able to afford a home in 1,321 out of 2,801 counties in the United States or just one county - Cumberland County - in New Jersey. Two-income families have a better chance of finding a home they can afford. Households with before-tax earnings of $109,000 would be able to afford homes in 2,554 out of 2,801 counties across the U.S. or 12 counties in New Jersey including Passaic, Sussex, Warren, Middlesex, Mercer, Ocean, Burlington, Camden, Atlantic, Gloucester, Salem, and Cumberland counties.
NBC noted widespread geographical differences in the affordability gap. A median salary of $60,690 in Massachusetts — the top-paying of the states — puts affordable housing out of reach in that state. Nationally, that person could afford to buy a house in 1,618 out of the 2,801 U.S. counties. A person in Mississippi, which has the lowest median annual income of $37,500, would only be able to afford to buy a house in 531 of 2,801 counties.
Today, a household earning the local median income would be able to afford a home in 60 percent of counties nationwide, compared with 90 percent of counties five years ago, NBC said, adding that the affordability gap is growing even in counties with lower-priced homes. » Go to NBC and use the slider tool on the map to make your own comparisons.
Onderwerpen: Data