In Topeka, Kansas, the salary required with a 10 percent down payment is $31,515. (Credit: iStock)
If you follow the golden rule of real estate–location, location, location–home ownership can be done with a low-five figure income.
The National Association of Realtors’ second quarter survey of national data found that an annual paycheck of $40,000 (or less) was sufficient to qualify to buy a home in 15 cities, according to CNBC. NAR’s index depends on a mortgage rate of 4.7 percent and monthly payments capped at 25 percent of the buyer’s income.
The ranking comes as less Americans are buying homes while the cost is rising fastest at the lowest price-points. Last year, the median age of a homebuyer was 45–a 30-year high.
That said, a recent PropertyShark survey of respondents from Gen Z–roughly between the ages of 18 and 23 currently–found that the younger generation on the heels of millennials expects to buy a house within the next five years. Here’s where they could do it without breaking bank. [CNBC]—Erin Hudson
1. Abilene, Texas
Abilene. (Credit: Flofor15/Wikimedia Commons)
Salary required with a 10 percent down payment: $37,827
Salary required with a 20 percent down payment: $33,624
Median home price: $167,200
2. Bloomington, Illinois
Salary required with a 10 percent down payment: $35,723
Salary required with a 20 percent down payment: $31,754
Median home price: $157,900
3. Buffalo, New York
Buffalo.
Salary required with a 10 percent down payment: $33,732
Salary required with a 20 percent down payment: $29,984
Median home price: $149,100
4. Cedar Rapids, Iowa
Salary required with a 10 percent down payment: $36,922
Salary required with a 20 percent down payment: $32,820
Median home price: $163,200
5. Charleston, West Virginia
Charleston, West Virginia. (Credit: Tim Kiser)
Salary required with a 10 percent down payment: $32,035
Salary required with a 20 percent down payment: $28,476
Median home price: $141,600
6. Cleveland, Ohio
Salary required with a 10 percent down payment: $34,660
Salary required with a 20 percent down payment: $30,809
Median home price: $153,200
7. El Paso, Texas
Juarez, Mexico and El Paso, Texas.
Salary required with a 10 percent down payment: $35,271
Salary required with a 20 percent down payment: $31,352
Median home price: $155,900
8. Erie, Pennsylvania
Salary required with a 10 percent down payment: $27,533
Salary required with a 20 percent down payment: $24,474
Median home price: $121,700
9. Fort Wayne, Indiana
Fort Wayne. (Credit: Momoneymoproblemz)
Salary required with a 10 percent down payment: $32,805
Salary required with a 20 percent down payment: $29,160
Median home price: $145,000
10. Lexington, Kentucky
Salary required with a 10 percent down payment: $39,524
Salary required with a 20 percent down payment: $35,132
Median home price: $174,700
11. Montgomery, Alabama
Montgomery. (Credit: Max Pixel)
Salary required with a 10 percent down payment: $32,963
Salary required with a 20 percent down payment: $29,300
Median home price: $145,700
12. Oklahoma City, Oklahoma
Salary required with a 10 percent down payment: $37,216
Salary required with a 20 percent down payment: $33,081
Median home price: $164,500
13. Rochester, New York
Rochester. (Credit: Theresa Marconi)
Salary required with a 10 percent down payment: $34,366
Salary required with a 20 percent down payment: $30,547
Median home price: $151,900
14. Springfield, Illinois
Salary required with a 10 percent down payment: $31,266
Salary required with a 20 percent down payment: $27,792
Median home price: $138,200
15. Topeka, Kansas
Salary required with a 10 percent down payment: $31,515
Salary required with a 20 percent down payment: $28,013
Median home price: $139,300
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