{"id":11628,"date":"2025-03-26T11:00:38","date_gmt":"2025-03-26T15:00:38","guid":{"rendered":"https:\/\/www.realtyhop.com\/blog\/?p=11628"},"modified":"2025-03-26T11:04:09","modified_gmt":"2025-03-26T15:04:09","slug":"affordability-index-march-2025","status":"publish","type":"post","link":"https:\/\/www.realtyhop.com\/blog\/affordability-index-march-2025\/","title":{"rendered":"RealtyHop Housing Affordability Index: March 2025"},"content":{"rendered":"
Is homeownership affordable or possible for the average American family?<\/span><\/i><\/p><\/blockquote>\n As spring rolls in and sellers place their homes on the market, buyers still face high list prices and interest rates. While the interest rate has slightly decreased since last month, most prospective buyers should still anticipate a rate above 6.5% this season. In most major cities nationwide, those on the market can also expect to spend more than 30% of their monthly income on housing costs. Those who purchase property this season should keep an active eye on the market and consult local professionals about their respective areas of interest.<\/span><\/p>\n Los Angeles<\/span><\/a> is still the country\u2019s least affordable housing market. The median list price increased to $1,179,900, and homeowners can expect to spend 95.63% of their income on mortgage payments and property taxes.<\/span><\/p>\n Irvine<\/span><\/a> also held onto its position this month. Households with a median income of $136,246 can expect to spend 84.14% of their income on mortgage payments and property taxes.<\/span><\/p>\n Miami<\/span><\/a> remains the third least affordable housing market. The median list price increased to $710,000, and households can expect to spend $4,218.47 monthly on homeownership costs.<\/span><\/p>\n New York City<\/span><\/a> is the fourth least affordable housing market this month. With a median list price of $850,000, households with a median income of $83,770 can expect to spend 69.81% of their earnings on housing each month.<\/span><\/p>\n Newark<\/span><\/a> held onto its spot as the fifth least affordable housing market. The median list price increased by 2.35% to $435,000, meaning households can expect to spend $2,898.73 on monthly housing costs.<\/span><\/p>\n Detroit<\/span><\/a> is, again, the most affordable housing market nationwide. With a median list price of $98,900, households can expect to direct 18.07% of their income toward mortgage payments and property taxes.<\/span><\/p>\n Toledo<\/span><\/a> held onto its spot as the second most affordable housing market. Households with a median income of $49,951 can expect to spend $780.86 monthly on the cost of homeownership.<\/span><\/p>\n St. Louis<\/span><\/a> remains the third most affordable housing market this month. The median list price dropped 2.49% to $199,900, and households can expect to spend 24.88% of their income on housing costs.<\/span><\/p>\n Kansas City<\/span><\/a> became the fourth most affordable housing market. Households with a median income of $70,882 will spend 25.89% of their monthly income on mortgage payments and property taxes.<\/span><\/p>\n Buffalo<\/span><\/a> is still the fifth most affordable housing market this month. The median list price remained at $179,900, and households can expect to spend $1,090.94 monthly on the cost of homeownership.<\/span><\/p>\n The following housing markets witnessed significant changes in March 2025.<\/p>\n Baltimore<\/span><\/a> jumped eight spots in the rankings to become the 86th least affordable housing market this month. The median list price decreased by 3.18% to $227,000, and households now allocate 27.59% of their income to housing.<\/p>\n
\nIn this March 2025 edition of the Housing Affordability Index, we examine what American households across the 100 largest cities need to spend on housing to find out:<\/span><\/p>\nKey Findings<\/b><\/h2>\n
\n
The 5 Least Affordable Housing Markets<\/b><\/h2>\n
1. Los Angeles, CA<\/span><\/h3>\n
2. Irvine, CA<\/span><\/h3>\n
3. Miami, FL<\/span><\/h3>\n
4. New York, NY<\/span><\/h3>\n
5. Newark, NJ<\/span><\/h3>\n
The 5 Most Affordable Housing Markets<\/b><\/h2>\n
1. Detroit, MI<\/span><\/h3>\n
2. Toledo, OH<\/span><\/h3>\n
3. St. Louis, MO<\/span><\/h3>\n
4. Kansas City, MO<\/span><\/h3>\n
5. Buffalo, NY<\/span><\/h3>\n
Housing Markets to Watch<\/b><\/h2>\n
Baltimore, MD<\/h3>\n
North Las Vegas, NV<\/h3>\n