Home ownership has long been considered the staple of the American dream.
During the pandemic, it has also become a dividing line between belongings and possessions.
When the coronavirus outbreak and the rise in remote working forced Americans to move from the city to the suburbs, those who could afford a single-family home were able to take advantage of historically low interest rates to build equity and wealth.
Many are doing just that. In 2020, the home ownership rate rose to around 67%, according to the Census Bureau, up nearly 3% year over year after having remained largely unchanged for a decade.
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However, the high demand for living space – along with a record low supply of houses for sale – has also led to a sharp rise in property prices and completely excluded others.
The housing construction sparked by the pandemic has created an affordability problem for many of these potential buyers, even though mortgage rates have been near their lowest ever. In many states, homes charge a higher salary than the current median income of buyers.
Here’s a look at how much money it takes to afford the average home in each state, according to career planning website Zippia.com. Nationwide, the median home price is $ 346,800.