75k Salary Can't Afford a 350k House with recurring expenses.
High home price to income ratios hiding behind low mortgage rates
The price-to-income ratio looks at the total cost/price of a home
relative to median annual incomes. Historically, the typical, median
home in the U.S. cost 2.6 times as much as the median annual income (so
if the median income in an area was $100,000, the median price of a home
would typically be about $260,000: $100,000 * 2.6).
| Metro Area |
% Of Monthly Income Dedicated to Mortgage Payments, 1985-1999 |
% Of Monthly Income Dedicated to Mortgage Payments, 2012 Q4 |
Median Home Price Relative To Median Annual Income,
1985-1999 |
Median Home Price Relative
To Median Annual Income,
2012 Q4 |
| UNITED STATES |
19.9%
|
12.6%
|
2.6
|
3.0
|
| New York |
30.7%
|
21.9%
|
4.0
|
5.2
|
| Los Angeles |
35.3%
|
29.0%
|
4.6
|
6.8
|
| Chicago |
21.4%
|
11.4%
|
2.8
|
2.7
|
| Dallas |
16.6%
|
9.3%
|
2.1
|
2.2
|
| Philadelphia |
17.5%
|
12.4%
|
2.3
|
2.9
|
| Washington, DC |
20.4%
|
14.9%
|
2.7
|
3.5
|
| Miami |
18.9%
|
13.5%
|
2.5
|
3.2
|
| Atlanta |
17.3%
|
8.1%
|
2.2
|
1.9
|
| Boston |
27.0%
|
19.0%
|
3.5
|
4.5
|
| San Francisco |
38.0%
|
28.8%
|
4.9
|
6.8
|
| Detroit |
15.8%
|
6.5%
|
2.1
|
1.5
|
| Riverside |
23.1%
|
14.9%
|
3.0
|
3.5
|
| Phoenix |
20.1%
|
12.7%
|
2.6
|
3.0
|
| Seattle |
25.0%
|
17.2%
|
3.3
|
4.1
|
| Minneapolis-St. Paul |
18.3%
|
11.2%
|
2.4
|
2.6
|
| San Diego |
31.3%
|
25.0%
|
4.1
|
5.9
|
| Tampa, FL |
17.5%
|
10.4%
|
2.3
|
2.5
|
| St. Louis |
15.6%
|
10.0%
|
2.0
|
2.4
|
| Baltimore |
19.5%
|
13.6%
|
2.5
|
3.2
|
| Denver |
20.2%
|
15.7%
|
2.6
|
3.7
|
| Pittsburgh |
14.3%
|
9.7%
|
1.9
|
2.3
|
| Portland, OR |
21.3%
|
17.3%
|
2.8
|
4.1
|
| Sacramento, CA |
25.9%
|
15.8%
|
3.4
|
3.7
|
| Orlando, FL |
18.5%
|
10.7%
|
2.4
|
2.5
|
| Cincinnati |
18.0%
|
9.6%
|
2.3
|
2.3
|
| Cleveland |
18.7%
|
9.7%
|
2.5
|
2.3
|
| Las Vegas |
21.7%
|
10.2%
|
2.8
|
2.4
|
| San Jose, CA |
35.2%
|
29.5%
|
4.6
|
7.0
|
| Columbus, OH |
17.5%
|
9.9%
|
2.3
|
2.3
|
| Charlotte, NC |
16.2%
|
10.9%
|
2.1
|
2.6
|
Salary to House by City
| Pittsburgh |
3.98% |
-0.14% |
$135,000 |
-6.90 |
$740.05 |
$31,716.32 |
| Cleveland |
4.05% |
-0.18% |
$121,200 |
-6.70 |
$746.91 |
$32,010.41 |
| St Louis |
4.03% |
-0.18% |
$138,400 |
-7.86 |
$777.54 |
$33,323.09 |
| Cincinnati |
4.09% |
-0.16% |
$138,100 |
-7.32 |
$781.32 |
$33,485.23 |
| Detroit |
4.18% |
-0.16% |
$135,800 |
-10.36 |
$828.83 |
$35,521.47 |
| Atlanta |
4.09% |
-0.14% |
$157,700 |
-5.85 |
$835.34 |
$35,800.11 |
| Tampa |
4.13% |
-0.17% |
$160,000 |
+10.34 |
$880.42 |
$37,732.20 |
| Phoenix |
4.06% |
-0.17% |
$200,300 |
-0.10 |
$948.69 |
$40,658.08 |
| Orlando |
4.07% |
-0.13% |
$180,000 |
+0.00 |
$983.34 |
$42,143.30 |
| San Antonio |
4.09% |
-0.19% |
$185,500 |
-0.48 |
$1,058.73 |
$45,374.30 |
| Minneapolis |
4.07% |
-0.18% |
$210,000 |
-4.15 |
$1,111.29 |
$47,626.53 |
| Dallas |
4.09% |
-0.22% |
$189,600 |
-2.02 |
$1,138.35 |
$48,786.53 |
| Houston |
4.09% |
-0.17% |
$199,300 |
-1.58 |
$1,166.28 |
$49,983.37 |
| Philadelphia |
4.14% |
-0.15% |
$213,300 |
-7.78 |
$1,187.99 |
$50,914.04 |
| Baltimore |
4.03% |
-0.16% |
$233,200 |
-8.84 |
$1,228.78 |
$52,661.96 |
| Chicago |
4.09% |
-0.12% |
$195,100 |
-12.04 |
$1,268.09 |
$54,346.62 |
| Sacramento |
4.19% |
-0.14% |
$268,700 |
-2.40 |
$1,362.96 |
$58,412.49 |
| Miami |
4.09% |
-0.17% |
$265,000 |
-1.85 |
$1,363.40 |
$58,431.48 |
| Portland |
4.11% |
-0.17% |
$288,900 |
-0.82 |
$1,414.08 |
$60,603.50 |
| Denver |
4.08% |
-0.20% |
$314,800 |
-0.22 |
$1,438.32 |
$61,642.15 |
| Seattle |
4.15% |
-0.13% |
$352,000 |
-2.20 |
$1,699.70 |
$72,844.31 |
| Washington |
3.98% |
-0.22% |
$372,800 |
-4.19 |
$1,805.88 |
$77,394.82 |
| Boston |
4.05% |
-0.21% |
$383,200 |
-4.18 |
$1,867.83 |
$80,049.93 |
| New York City |
4.22% |
-0.15% |
$390,000 |
-5.34 |
$2,042.50 |
$87,535.60 |
| Los Angeles |
4.07% |
-0.18% |
$450,900 |
-6.43 |
$2,092.18 |
$89,664.86 |
| San Diego |
4.07% |
-0.21% |
$493,100 |
-4.77 |
$2,226.76 |
$95,432.68 |
| San Francisco |
4.02% |
-0.18% |
$742,900 |
-0.20 |
$3,323.79 |
$142,448.33 |
