Only Two US Metro Areas Are Affordable for Homebuyers

Before the Covid-19 pandemic, 20 U.S. states were considered affordable home-buying markets for most households. Today, just two metro areas remain ‘affordable’ by that definition issued by the National Association of Realtors — and no entire states fit the bill. “Since the pandemic, two states, Montana and Idaho, have surpassed California as the most unaffordable states for local homebuyers, according to the analysis. Hawaii and Oregon round out the list of the five least affordable states.”

One of those regions is northeast Ohio, explains Tim Henderson in Stateline. “Youngstown is one of the last two metro areas in the country where a household with nearly any income should be able to find a single-family home they can afford to buy, according to an analysis of April data by the National Association of Realtors.”

According to the analysis, the Los Angeles metropolitan area, where the median single-family home price has surpassed $1 million, was the least affordable, while Youngstown and Akron rated as the most affordable. Montana and Idaho are the least affordable states, with housing prices exploding in both as remote workers flock to the region. 

“Home prices have increased by 47% nationwide just since 2020, according to a June report by the Harvard Joint Center for Housing Studies. A major factor is that there aren’t many homes for sale.” Around the country, cities and states are looking to zoning reform as one avenue for boosting the housing supply to meet demand and promote denser development that could drive down the cost of housing.