Nationwide, the income needed to buy a home is, on average, 73% higher than what most families actually earn.

Let’s break it down. The NAR article (https://www.realtor.com/news/trends/family-income-to-buy-home-by-state-map/) compared the median price to the median income of a four person household.  I feel the median family income is better to use, so I used the Wise Voter data in the table below.  Comparing these 2 data sets, the price to purchase a home is on average 73% higher than the median family income.

Affordable Housing Statistics (State by State):

State Required Income to get a Loan Median Family Income REQUIRED Income Increase
Alabama $92,583 $56,929 63%
Alaska $121,585 $81,133 50%
Arizona $140,578 $70,821 98%
Arkansas $83,440 $50,784 64%
California $209,643 $81,575 157%
Colorado $161,002 $84,954 90%
Connecticut $143,729 $80,958 78%
Delaware $137,986 $68,687 101%
Florida $125,182 $59,734 110%
Georgia $109,354 $61,497 78%
Hawaii $229,341 $82,199 179%
Idaho $163,153 $76,918 112%
Illinois $83,440 $79,253 5%
Indiana $80,418 $70,190 15%
Iowa $80,562 $72,429 11%
Kansas $80,662 $75,979 6%
Kentucky $86,044 $55,629 55%
Louisiana $79,138 $57,206 38%
Maine $129,340 $71,139 82%
Maryland $117,505 $97,332 21%
Massachusetts $215,816 $86,566 149%
Michigan $76,361 $64,488 18%
Minnesota $109,627 $80,441 36%
Mississippi $83,426 $46,637 79%
Missouri $83,167 $63,594 31%
Montana $176,513 $64,999 172%
Nebraska $99,836 $78,109 28%
Nevada $139,742 $64,340 117%
New Hampshire $165,456 $88,841 86%
New Jersey $156,822 $88,559 77%
New Mexico $112,146 $53,463 110%
New York $189,923 $72,920 160%
North Carolina $114,951 $62,891 83%
North Dakota $104,555 $68,882 52%
Ohio $74,663 $62,689 19%
Oklahoma $84,892 $60,096 41%
Oregon $158,276 $81,855 93%
Pennsylvania $85,397 $72,627 18%
Rhode Island $151,067 $74,982 101%
South Carolina $101,426 $62,542 62%
South Dakota $107,196 $73,893 45%
Tennessee $120,855 $62,166 94%
Texas $102,160 $67,404 52%
Utah $168,693 $87,649 92%
Vermont $143,168 $76,079 88%
Virginia $121,534 $80,268 51%
Washington $174,700 $87,648 99%
West Virginia $71,080 $46,836 52%
Wisconsin $109,196 $69,943 56%
Wyoming $132,297 $71,052 86%

The least affordable states for the average family are California, Hawaii, Massachusetts, New York, and Montana.

The most affordable are South Dakota, Minnesota, Illinois, Indiana, Iowa, Michigan, Pennsylvania, Ohio, Oklahoma, Nebraska, Missouri, and Kansas.

It’s no surprise that affordability varies by region. But it’s worth paying attention to where the math actually works. The Midwest, the “so called” fly-over states, may not always be flashy, but the fundamentals are strong.