The Philadelphia area is one of the rare major metros in the United States where households do not need to make six figures to be able to afford a typical home, writes Michaelle Bond for The Philadelphia Inquirer.
According to Redfin’s recent analysis of the 50 most populous U.S. metros, the Philadelphia area has the fifth-lowest income needed to purchase a home.
A typical household in the region that is defined as Philadelphia and Delaware Counties by Redfin needs to make $73,182 to afford a median-priced home. This is slightly higher than the median household income of $72,933.
While the region remains affordable, it is still becoming more expensive. A typical household needs to make roughly $9,500 more than it did last year due to the rise in home prices. In February, the median price of a home in the Philadelphia metro was $255,000, which is 8.5 percent higher than at the same time the previous year.
Homes are becoming less affordable due to the lack of inventory and a rise in mortgage interest rates, which can add hundreds of dollars to monthly housing payments.
Read more about housing affordability in Philadelphia and surrounding areas in The Philadelphia Inquirer.
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