ATTOM Data Solutions just released its Q4 2019 US Home Affordability Report that indicates 71% of US counties, or 344 of 486 counties, remained unaffordable for average wage earners. This 71% is an eye-popping statistic BUT still an improvement of lack of affordability over 73% in Q3 2019 and 75% in Q4 2018.
ATTOM’s Housing Affordability Index calculates the amount of income one would need to make for monthly house payments including monthly mortgages fees, property taxes and home insurance on a median price home. ATTOM assumes a 3% down payment and a 28% maximum “front end” debt-to-income ratio.) ATTOM then compares that required income to the annualized average weekly wage data from the Bureau of Labor Statistics.
New Free Webinar Shows You The 12 Secrets Of Real Millionaire Agents. Stop Struggling. You Can FINALLY Laugh At Your Money Worries – If You Follow This Simple Plan. Learn How To Generate 100’s of Motivated Leads Without Coming Off As A Pushy Salesperson and Losing Your Soul. Learn Now How To Become One of the 1000s of Agents Making HUGE Money Who Never Thought They Could.
YES, I Want To Attend The FREE Webinar! <——Click To Register
P.S. Free Webinar, Limited Space. Less Than 300 Spots Still Available.
Despite declining mortgage rates and increasing wages compensating for rising home prices, home ownership still eats up 32.5% of wages and is still less affordable in 49% of local markets. Again, that 49% is an improvement from a whopping 72% in Q4 2018. Price appreciation, +9% y/y, outpaced wage growth in 76% during Q4 2019.
Attom’s 10 Least Affordable Counties with Populations of +1M in Q4 2019
- Los Angeles County CA
- Maricopa County (Phoenix) AZ
- San Diego County CA
- Orange County CA
- Miami-Dade County FL
- Kings County NY
- Dallas County TX
- Riverside County CA
- Queens County NY
- San Bernardino County CA
ATTOM’s Most Affordable Counties with Populations of +1M in Q4 2019
- Cook County (Chicago) IL
- Harris County (Houston) TX
- Wayne County (Detroit) MI
- Philadelphia County PA
- Cuyahoga County (Cleveland) OH
- Franklin County (Columbus) OH
- Oakland County (Pontiac) MI
- Allegheny County (Pittsburgh) PA
- Mecklenburg County (Charlotte) NC
- Fulton County (Atlanta) GA
With a national median home price of $257,000 in Q4 2019, an average weekly wage earner would need a gross annual income of $67,647 in order to achieve home ownership.
Counties Requiring The Smallest Amount of Annualized Weekly Wages in Q4 2019 included…
- Baltimore City/County MO – 11.2%
- Bibb County (Macon) GA – 12.4%
- Rock Island County (Davenport) IL – 14.4%
- Wayne County (Detroit) MI – 15.2%
- Richmond County (Augusta) GA – 15.2%
Counties Requiring The Greatest Percentage of Annualized Weekly Wages in Q4 2019 included…
- Marin County CA – 111.2%
- Kings County (Brooklyn) NY – 103.6%
- Santa Cruz County CA – 103%
- Monterey County CA – 88%
- Maui County HW – 84.9%
Counties with +1M People Seeing The Biggest Annual Percentage Improvement in Affordability in Q4 2019 included…
- New York (Manhattan) NY – +33%
- Kings County (Brooklyn) NY – +20%
- Middlesex County (outside Boston) MA – +14%
- Santa Clara County CA – +13%
- Orange County (outside of Los Angeles) CA – +11%
Counties with -1M People Seeing The Biggest Annual Percentage Improvement in Affordability in Q4 2019 included…
- Butte County (north of Sacramento) CA – +39%
- Bay County (Panama City) FL – +26%
- Florence County SC – +26%
- Cecil County (outside of Wilmington) MD – +23%
- Bristol County (outside of Providence) MA – +21%
Thanks to ATTOM Data Solutions’ Christine Stricker for source data.
Also read: Top 10 Counties with Best & Worst Home Affordability, House Flipping “Just the Beginning” for Zillow Offers
