According to ATTOM Data Solutions [1], 74% of U.S. housing markets are unaffordable for average wage earners to buy a median-priced home. In a new report, ATTOM examines where, despite buyers can find affordable homes despite the high density of unaffordable homes.
According to ATTOM, the largest populated counties where a median-priced home in Q3 2019 was not affordable for average wage earners included Los Angeles County, California; Cook County, Illinois; Maricopa County, Arizona; San Diego County, California and Orange County, California. Those same counties were in the top five in Q2 2019 as well.
Also in the top 10 largest populated counties where a median-priced home in Q3 2019 was not affordable, were King County, Washington; Tarrant County, Texas; Santa Clara County, California; New York County, New York; and Alameda County, California.
According to ATTOM’s report, 26% of the counties analyzed, or 127 of 498, where a median-priced home in Q3 2019 was still affordable for average wage earners, included Harris County, Texas; Wayne County, Michigan; Philadelphia County, Pennsylvania; Cuyahoga County, Ohio; and Allegheny County, Pennsylvania.
In addition to Harris County, Wayne County, Philadelphia County and Cuyahoga County, the other counties included in the top 10 where buying a median-priced home was still affordable, were Mecklenburg County, North Carolina; Fulton County, Georgia; Saint Louis County, Missouri; Milwaukee County, Wisconsin; and Marion County, Indiana.
ATTOM also found that 67% of the counties analyzed in the report, or 335 of 498, require at least 30% of their annualized weekly wages to buy a home in Q3 2019, with the highest being Kings County, New York (110.4% of annualized weekly wages needed to buy a home); Santa Cruz County, California (105%); Marin County,California (102.4%); Maui County, Hawaii (87.9%); and Monterey County, California.
Meanwhile, the counties that required the smallest percent included Calhoun County, Michigan (14.4% of annualized weekly wages needed to buy a home); Wayne County, Michigan (14.9%); Clayton County, Georgia (15.2%); Rock Island County, Illinnois (15.5%); and Montgomery County, Alabama (16.2%).