Massachusetts continues to deal with a lack of affordability and according to Realtor.com, the commonwealth is one of the worst in the nation in this area.
The minimum recommended income to purchase a median-priced home in the U.S. is between 7 percent and 151 percent higher than the median household income at the state level, according to data analysis from Realtor.com.
While states such as Montana and Illinois are among the most affordable states in the nation, Massachusetts is second in the nation in terms of a lack of affordability. According to Realtor.com, the median listing price in the commonwealth is $732,450 with the median household income required to purchase a home sitting at $215,696.
“Purchasing a median-priced home in today’s market ranges from challenging to downright impossible for median-income households,” Realtor.com senior economic research analyst Hannah Jones said in a statement.
While Realtor.com focuses on listing prices, according to The Warren Group, the publisher of Banker & Tradesman, for the first three quarters of 2024, the median sale price of a residential home in Massachusetts was $600,000.
The only other New England state to make the top 10 was New Hampshire as they were 9th in the state with a median household income required to purchase a home sitting at $165,512. The median list price according to Realtor.com was $562,038 while data from The Warren Group shows that the median sale price of a residential home in New Hampshire through the first three quarters of 2024 was $465,000.
Connecticut and Vermont rounded out the top 15 with the Nutmeg state requiring an income of $146,161 and Vermont requiring $145,770.