Real Estate properties in the United States are becoming more and more unaffordable for its citizens. You can hear the same stories of people who wanted to buy a house but couldn't afford it which leaves them with no other choice but to rent.
According to huffingtonpost.co.uk, National Association of Realtors has released a report showing that median prices for single family home rose to $236,400 for the month of June 2015. Houses in San Jose, California have a media price of $980,000 while Seattle, Manhattan, Honolulu and Washington DC are well above the media price. Also, California coastal communities and Hawaii have reached two to four times higher than the median price. However real estate properties in Illinois, Pennsylvania, West Virginia, Ohio and Detroit remain in five digit- median price.
Dr. Lawrence Yun, chief economist of the National Association of Realtors, said that places with high unemployment rates have the affordable housing prices. Most people opt to living in a city for better job opportunities but it makes them feel that living in their car is a far better choice than to be a home owner. He also said that for someone to afford a home in San Francisco, one must earn $200,000 annually and only 10% of the population are in this category. Denver and Seattle used to be known as affordable but they are now almost on $400,000- median price. Rents are also getting higher in San Francisco and Seattle by 4% while the people's income rose by only 2%.
According to joshmoodyloans.com, the seven most unaffordable cities in the US are Oakland, California with $450,000 median price, Los Angeles, California with $470,000, Boston, Massachussets with $350,000, New York City, New York with $500,000, Washington DC with $443,000, San Francisco, California with over $750,000 and Honolulu, Hwaii with $547,000. There are also three affordable alternatives that an aspiring homeowner can look into. These include Cleveland, Ohio with a home media price of $75,000, Knoxville, Tennessee with the median home value of $140,000 and Syracuse, New York has a low median price of just below $80,000.
