Based on the recommendation that homeowners spend no more than 30% of their income on total monthly mortgage payments — that now means that a person/couple must earn $87,453 to purchase a home priced right in the middle of all the homes for sale in San Antonio.
In 2021, a salary of $58,532 could get you that same home. That’s an increased salary requirement of nearly $29,000, or 49.4% in one year — which very few people actually accomplished. In fact, Redfin found that the average U.S. hourly wage grew only about 5% in the last year, which is less than the inflation rate.Redkin found that homeowners must earn at least $100,000 to buy a home in nearly half of the metro areas they analyzed.and the annual income required to afford the median-priced home in each.
Despite the dire statistics, Real Estate experts say if you’re wanting to buy a home and you can afford to do it, you shouldn’t wait. “I’m encouraging buyers to think long term,” said Washington, D.C. Redfin agent Chelsea Traylor. “Prices are unlikely to fall drastically in the long run, so buying a home now–if you can afford the monthly payment–will still help you build wealth over time, especially if you plan to live in it for several years. Even though rates are high, another advantage of buying now is the lack of competition and opportunity to negotiate with sellers.”Copyright 2022 by KSAT - All rights reserved.