11 U.S. Cities Where Earning Over $200K is Essential for Homeownership

In certain Californian cities, earning upwards of $200,000 annually is a prerequisite for homebuying, as indicated by a recent study from the National Association of Realtors.

Leading the ranking among 221 metropolitan areas in the U.S. is San Jose. To afford a median-priced house there, an annual income of $482,835 is required, according to the NAR study.

This study assesses the necessary income across various cities, considering a 20% down payment and a 7.12% interest rate. It is based on the premise that monthly housing expenses should not surpass 25% of a family’s income.

The top 11 metropolitan areas where an income exceeding $200,000 is needed to purchase a median-priced house include:

1. San Jose-Sunnyvale-Santa Clara, CA: $482,835
2. Anaheim-Santa Ana-Irvine, CA: $340,595
3. San Francisco-Oakland-Hayward, CA: $339,290
4. Honolulu, HI: $277,147
5. San Diego-Carlsbad, CA: $255,381

[Click here for the complete list.]