10 cities where you can buy a home on an annual salary of $60K or less

Texas cities dominate new ranking of affordable “boomtowns”

National /
Jan.January 05, 2019 12:00 PM

(Credit: iStock)

Want to buy an affordable home in a flourishing city? It might be a pipedream in New York City or Los Angeles, but elsewhere in the country it’s possible to buy a home on an annual salary of $60,000 or less in one of America’s new “boomtowns.”

Personal finance site MagnifyMoney crunched numbers to find “boomtowns,” areas with the fastest growing local industries, populations, and work opportunities in the country.

CNBC’s Make It then compared those thriving areas to the National Association of Realtors’ Metropolitan Median Area Prices and Affordability and Housing Affordability index from the third quarter of 2018, to find the country’s ten most affordable, prospering cities. (The index assumes a blanket 4.7 percent mortgage rate across all areas, and a monthly principal and interest payment limited to 25 percent of a resident’s income. It does not account for local insurance or property taxes.)

Four of the top ten cities were in Texas. The most affordable city on the list was El Paso, where the median home price was $158,200, where buyers can afford a home with an annual salary of $32,185, with a 20 percent down payment. An annual salary of $36,208 is required for a 10 percent down payment.

The most expensive city in the rankings was still within reach for those earning under $60,000 annually. In Dallas, $59,988 a year qualifies buyers for a 10 percent down payment on a median house price of $262,100. For those able to lay down 20 percent upfront, the required salary is $53,322.

Other affordable boomtowns that made the list included Charlotte, North Carolina; Des Moines, Iowa; Fort Myers, Florida; Grand Rapids, Michigan; New Orleans, Louisiana; and Oklahoma City, Oklahoma. [CNBC] — Decca Muldowney


Related Articles

arrow_forward_ios
30 Front Street & 294 Park Place (Streeteasy, Getty)
Brooklyn luxury market can’t shake slump
Brooklyn luxury market can’t shake slump
From left: 182 East 64th Street and 520 West 28th Street (Getty Images, Brown Harris Stevens, Godsfriendchuck, CC BY-SA 4.0 - via Wikimedia Commons)
Manhattan luxury contracts hold steady in September
Manhattan luxury contracts hold steady in September
Ryan Serhant
Ryan Serhant talks Compass, reality TV and more on TRD podcast
Ryan Serhant talks Compass, reality TV and more on TRD podcast
Frank Lloyd Wright with 1425 Valley View Drive (Getty, Re/Max)
Unique Frank Lloyd Wright home available … for now
Unique Frank Lloyd Wright home available … for now
A photo illustration of the Arizona Ghost Town Museum in Pearce, Arizona (Getty Images, Facebook/oldpearcepottery)
Night at the museum: Ghost town general store turned-home lists at $1M
Night at the museum: Ghost town general store turned-home lists at $1M
Ben Simmons and Olympia Dumbo (Photo Illustration by Steven Dilakian for The Real Deal with Getty Images and Olympia Dumbo)
Fortis’ Olympia Dumbo lures Brooklyn Nets star
Fortis’ Olympia Dumbo lures Brooklyn Nets star
Fredrik Eklund and John Gomes (The Society Group, 53w53)
Eklund-Gomes couples 53W53 open house with magazine launch
Eklund-Gomes couples 53W53 open house with magazine launch
Alec Baldwin with 335 Town Lane (Getty, Hampton Real Estate)
Alec Baldwin bailing on Amagansett estate
Alec Baldwin bailing on Amagansett estate
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...