A household needs an income of $116,986 to afford a typical median-priced house in the US, a 50% jump from just five years ago, according to data from Bankrate.
Julie Hyman takes a closer look at the findings on Wealth.
To watch more expert insights and analysis on the latest market action, check out more Wealth here.
Americans must bring in a household income of over $100,000 annually to afford a typical median-priced home in the US. That's according to Bankrate. And this figure has increased by 50%, five-zero percent since 2020. Bankrate saying the quote numbers show the dramatic rise in home prices and the tightening affordability squeeze facing first-time buyers. Bankrate analyzed home sales prices to calculate monthly mortgage payments to determine how much Americans need to earn on average to afford a typical home. In 2025, residents in eight states and the District of Columbia actually needed a household income of $150,000 or more. With three places actually needing at least $200,000. The three places where you need that highest annual household income to afford a home: California, Hawaii, and the District of Columbia. The nation's capital requires the house highest household income level at just over $240,000. The three states with the lowest annual household household income needed: Ohio, Iowa, and West Virginia. We're seeing fast growth in household income needed in some Western states: Utah, Montana, and Wyoming. Bankrate Bankrate says quote these numbers really underscore the wide gaps in housing affordability throughout the country. And quote if you're not ready to buy, there is no shame in renting, or maybe looking in Ohio or Iowa.