The salary a potential homebuyer earns can dictate whether affording a home is in reach, and according to a study released Tuesday by GOBankingRates [1], location is just as important as ever when considering income potential.
Some cities have household incomes that are growing faster than others. The study notes that metro areas in the midwestern and western regions of the U.S. are experiencing the most rapid wage growth, while metro areas in the southern and eastern regions are growing more slowly or declining.
To determine the wage growth across the nation, GOBankingRates analyzed income changes year-to-year from 2010 through 2015 for America's 200 largest metro areas. Changes in income were calculated based on real income per capita in 2009 dollars. So which cities fared the best?
Tulsa, Oklahoma earns the No. 1 spot for a homebuyer to consider, with an income increase by 35.71 percent. In addition, “it's the only area in the country that witnessed income growth greater than 30 percent, as well as the only one that enjoyed average year-over-year increase over 6 percentage points — in fact, it was 6.41.”
Following suit is Fayetteville, Arkansas. In this city, incomes have risen by an average 5.49 percentage points year-over-year from 2010 to 2015, for a 29.72 percent overall rise in income.
Provo, Utah experienced an income increase of 23.12 percent, and according to the study, unemployment there is half the national average and job growth is nearly triple.
San Jose, California, and Greeley, Colorado, complete the top five, both experiencing income growths, as well as both locations having median hourly wages higher than the national median, making these cities a place for homebuyers to consider laying down roots.
To view where other cities rank, click here [2].