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Home prices have risen in recent years due to a lack of supply in the housing market and elevated mortgage rates. 

As of March, the median home sale price in the United States is $420,321, according to Redfin. This marked a 4.8% increase year-over-year. However, in some parts of the country, the price of buying a home is even steeper. 

A recent Realtor.com analysis found that, in 14 of the 50 largest metropolitan areas in the U.S., hopeful buyers would need to earn more than $150,000 annually to afford a median home. 

"It's desirable places to live, places that haven't built a lot of housing, and major cities that have a lot of higher-paying jobs," Realtor.com Chief Economist Danielle Hale said in the report. "You've either got to be very high-income or come into the market with a lot of equity."

To determine the income required to purchase a home in each city, Realtor.com looked at median home list prices in 50 of the largest metropolitan areas in the U.S. The figures also account for an assumed 20% down payment, local taxes and insurance rates, and a mortgage rate of 6.99%.

10 Cities With the Highest Income Needed to Purchase a Home

1. San Jose, CA

  • Median Home List Price: $1,467,000

  • Median Price Change (Year-over-Year): -4.50%

  • Income Required To Purchase A Home: $361,000

  • Change in Required Income (Year-over-Year): 1.10%

2. Los Angeles, CA

    • Median Home List Price: $1,192,000

    • Median Price Change (Year-over-Year): 8.40%

    • Income Required To Purchase A Home: $298,000

    • Change in Required Income (Year-over-Year): 14.70%

    3. San Diego, CA

      • Median Home List Price: $1,050,000

      • Median Price Change (Year-over-Year): 5.00%

      • Income Required To Purchase A Home: $259,000

      • Change in Required Income (Year-over-Year): 11.20%

      4. San Francisco, CA

        • Median Home List Price: $1,027,000

        • Median Price Change (Year-over-Year): -10.70%

        • Income Required To Purchase A Home: $256,000

        • Change in Required Income (Year-over-Year): -5.50%

        5. Boston, MA

          • Median Home List Price: $870,000

          • Median Price Change (Year-over-Year): 3.70%

          • Income Required To Purchase A Home: $226,000

          • Change in Required Income (Year-over-Year)L 9.50%

          6. New York, NY

            • Median Home List Price: $769,000

            • Median Price Change (Year-over-Year): 9.90%

            • Income Required To Purchase A Home: $218,000

            • Change in Required Income (Year-over-Year): 15.50%

            7. Seattle, WA

              • Median Home List Price: $775,000

              • Median Price Change (Year-over-Year): -6.10%

              • Income Required To Purchase A Home: $193,000

              • Change in Required Income (Year-over-Year): -0.60%

              8. Denver, CO

                • Median Home List Price: $625,000

                • Median Price Change (Year-over-Year): -8,00%

                • Income Required To Purchase A Home: $165,000

                • Change in Required Income (Year-over-Year): -2.90%

                9. Sacramento, CA

                  • Median Home List Price: $650,000

                  • Median Price Change (Year-over-Year): -1.60%

                  • Income Required To Purchase A Home: $162,000

                  • Change in Required Income (Year-over-Year): 4.20%

                  10. Washington, DC

                    • Median Home List Price: $625,000

                    • Median Price Change (Year-over-Year): 0.80%

                    • Income Required To Purchase A Home: $159,000

                    • Change in Required Income (Year-over-Year): 6.60%

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