Updated
Updated · Visual Capitalist · Aug 15
37 U.S. States Fall Short of Homebuying Income Threshold, Led by Hawaii's $116,053 Gap
Updated
Updated · Visual Capitalist · Aug 15

37 U.S. States Fall Short of Homebuying Income Threshold, Led by Hawaii's $116,053 Gap

2 articles · Updated · Visual Capitalist · Aug 15

Summary

  • Median household income trails the estimated income needed to comfortably buy a median-priced home in 37 states, showing affordability pressure has spread well beyond the priciest coastal markets.
  • Hawaii posts the widest gap at $116,053, with households earning $100,389 versus the $216,442 needed; California follows at $74,928.
  • Montana ranks third with a $53,307 shortfall despite median household income of just $72,509, while Rhode Island, New Hampshire, Oregon and several other states also show large gaps.
  • Illinois stands out on the other side, with income exceeding the homebuying threshold by $20,002; West Virginia and Maryland also post surpluses, though Arkansas, Alabama and Virginia are barely above break-even.
  • The state-by-state comparison underscores how rising housing costs have outpaced typical earnings across much of the U.S., leaving only a limited affordability cushion in many markets.

Insights

With median incomes falling short in 37 states, what unconventional strategies are desperate buyers using to secure homes today?
If median home prices soar past $527,000 by 2031, will the traditional dream of homeownership completely vanish for the middle class?
How are outdated local zoning laws and rigid building codes secretly fueling the massive housing shortage across the nation?