Home services

North Texans should make this a lot cash to comfortably afford a house, report says

Loading Video…

This browser does not support the Video element.

Realtor uses TikTok to share affordable Dallas rentals

Local Real Estate agent Sara Williams is known on TikTok as the Dallas Heeltor. She helps her more than 17,000 followers find affordable housing in the Dallas area while also adding some humor.

If you are looking to buy a new home in North Texas, you’d better be willing to pay.

New analysis from Zillow finds that residents in the Dallas area need to make $121,398 to comfortably afford a mortgage. 

That is $14,862 more than the United States average ($106,536), according to the study.

READ MORE: Here’s the minimum annual income required to be middle class in Texas

The number is based on a 10 percent down payment on the home, along with the total monthly payment, which is a combination of the monthly mortgage payment, insurance, property taxes and annual maintenance costs of the home.

Housing Costs on the Rise

Home prices have significantly increased since January 2020, with values rising 42.4 percent in the last four years. Monthly mortgage payments (based on a 10% down payment) have nearly doubled.

“Housing costs have soared over the past four years as drastic hikes in home prices, mortgage rates and rent growth far outpaced wage gains,” Zillow senior economist Orphe Divounguy said in a press release. “Buyers are getting creative to make a purchase pencil out, and long-distance movers are targeting less expensive and less competitive metros. Mortgage rates easing down has helped some, but the key to improving affordability long term is to build more homes.”

In the Dallas area, the income needed to afford a home in Jan. 2024 is $53,679 more than in Jan. 2020.

The average home value in DFW is $366,690, according to Zillow.

Most Affordable Cities

According to Zillow, these cities require the lowest income to afford a mortgage.

  1. Pittsburgh, Pennsylvania – $58,232
  2. Memphis, Tennessee – $69,976
  3. Cleveland, Ohio – $70,810
  4. New Orleans, Louisiana – $74,048
  5. Birmingham, Alabama -$74,338

Least Affordable Cities

According to Zillow, these cities require the highest income to afford a mortgage.

  1. San Jose, California – $454,296
  2. San Francisco, California – $339,864
  3. Los Angeles, California – $279,250
  4. San Diego, California – $273,613
  5. Seattle, Washington – $213,984

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button