Forbes Magazine recently released an interesting comparison chart entitled ‘Homes Within Reach: How Much House Can the Middle Class Afford?’ The study took into consideration various metro areas within the United States, and calculated the home affordability price based on average middle class incomes within those areas. What the study found is that Denver, and some other places, still has homes that are well within reach of the middle class. Why is this an anomaly?
Home prices have been rising much faster than wages, and that tends to mean homes that are overvalued and out of reach. But, there are still some places in the U.S. that are affordable. Here’s are the places that you’ll want to move to if you are looking to buy a home and are in the middle class bracket.
Most Affordable Middle Class Homes
1. Denver: 50% of homes are within reach; the median middle class income is $62,000; and that means that the average middle class household can afford a home priced at $325,000, which turns out to be nearly half of the homes for sale. If your household pulls in more than $62,000 combined, more than 50% of the homes in Denver are entirely affordable.
2. Atlanta: most middle class households in Atlanta pull in around $55,000. According to the Forbes calculations, the average middle class household can afford a home priced at $273,000. How many homes in Atlanta are price at or below this number? Around 72%. If you’re moving to Atlanta, you’ve got lot of homes to select from!
3. San Francisco: you have to make a decent amount of dough to be considered middle class in San Francisco. The average middle class home in San Fran pulls in around $84,000, and this means that middle class San Francisco residents can afford a home priced at $440,000. How many homes in San Francisco are available at that price? A really low 14%!
Least Affordable Housing Markets for the Middle Class
The middle class is really getting pushed out of some areas – take a look at these least affordable places:
1. San Francisco: with only 14% of homes available for the middle class, housing in San Fran is out of reach.
2. Los Angeles: only 23% of homes fall into the affordable category in L.A!
3. Orange County: 24% of homes are available for the middle class here.
4. NYC: 25% of homes are realistically in reach in the Big Apple.
5. San Diego: 28% of homes are attainable in San Diego.
Clearly, the West Coast is not the place to go to find affordable housing. So, what parts of the U.S. are actually affordable for the middle class? Right now, the most affordable state is Ohio followed by Indiana, South Carolina, and Michigan. Denver ranks high on that scale too, with 50% of homes within reach.
The Middle Class Housing Marketing In Canada
Just to give you something to compare home availability in the U.S. with, let’s take a look at the Canadian housing market. The most expensive areas to move to in Canada include:
1. Vancouver: the average price of a home here (according to Reader’s Digest) is around $700,000.
2. Toronto: home prices in the Toronto area average $480,000.
3. Calgary: prices in Calgary average $418,000.
4. Ottawa: $340,000 is the average home price in Ottawa.
5. Montreal: the average home price in Montreal is around $318,000.
What about the rest of the world?
The Most Expensive Places to Live Globally
How about the least expensive places to live globally?
1. Kiev, Ukraine
2. Bogota, Columbia
3. Santiago, Chile
4. Johannesburg, South Africa
5. Mexico City, Mexico
It’s interesting to look at the prices of homes across the world and in the U.S. But, if you’re moving to Fort Collins, we have some good news for you. The average home price in Fort Collins is around $299,000. In fact, Colorado, in general, is affordable no matter where you go. If you’ve decided to move to Colorado, you’ve made a great choice! Let us help you get here. As one of the top Fort Collins moving companies, we can help you get where you’re going simply. Call Exodus Moving and Storage today for rates, answers to questions, or for a free estimate.
Some places in the world might be way out of reach, but Colorado remains an excellent place to live, set up a new shop, and explore. Have you ever lived in one of the most expensive cities listed above? Let us help you make your move a smooth one – Exodus is the trusted name in moving when it comes to Fort Collins moving companies.