Prospective homebuyers need to earn $50,000 more than they did in 2020 to be able to afford the average home in the US, grim new research reveals.

Buyers must make $106,000 to be able to comfortably afford a property, according to data from Zillow - which looked at the 50 biggest metro areas across the US.

That is up more than 80 percent from the $59,000 required in January 2020 - laying bare the challenges Americans face being able to get and then pay for a mortgage.

But the amounts needed vary dramatically across the US. In three of the most expensive cities, an annual salary of more than $200,000 is needed - up by at least $78,000 since before the pandemic.

Looking at the average home across the US, the monthly mortgage payment has nearly doubled since 2020 - up a huge 96.4 percent to an average of $2,188, assuming a 10 percent down payment.

Mortgage rates ended January 2020 near 3.5 percent. While they then plummeted during the Covid-19 pandemic, successive interest rate hikes have caused them to double in recent years.

According to latest data from government-backed lender Freddie Mac, the average 30-year fixed-rate mortgage hit 6.94 percent as of February 29. This marked an increase for the fourth consecutive week.

Alongside higher mortgage payments, home values have also risen significantly since January 2020, creating a perfect storm for prospective buyers.

According to Zillow analysis, home values across the US have risen 42.4 percent in that time - to an average of around $343,000.

In 2020, a household earning $59,000 annually could comfortably afford the monthly mortgage on a typical US home, it found, spending no more than 30 percent of its income with a 10 percent down payment.

The necessary income was below the median US income of $66,000, meaning more than half of American households had the financial means to afford homeownership.

Now, the roughly $106,000 needed to comfortably afford the mortgage payment on a typical home is well above what a typical household earns each year, which is estimated at about $81,000.

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yeah average

the million dollar mansions bring that number way up

plenty of ghetto property for 150k

Dude. 5 years ago you could get a half decent home and not have to live in the ghetto for $150k. So yeah, it's across the board not just mansions.

I'm looking to put up a 30x40 pole built garage. I put one up in 2016 for $8k less that included electric, fully insulated, truss storage, steel ceiling, etc. that my current quote doesn't include. Ridiculous.

Nothing around me is under 200k and the 200k houses are trash houses

Definitely going to need to live in a van down by the river now. Thanks Trump.

Yeah, but big firms are gobbling up real estate, and homes and the rich are gonna get richer. Isn’t that what the end game is? Can’t we just agree that the wealthy are objectively better humans than us?

The young generation has been absolutely killed by Biden's economy and inflation.

It's crazy to think of how much harder it is for this generation to achieve the American Dream than just a short time ago.

hard to believe i was buying homes for 40-50k a little over a decade ago. now those same homes are close to $300k

and most still support him lmao

150K would get you a modular home in a park in NorCal. You'll need 300Kish to get in a house.

ClivesTriceps bought a house for 200k brah but his standards aren't to high

around 2016 i bought a double wide for $28,000 on 0.75 acre…i put about $7k into repairs and sold it for around $100k as the market started going up. now it's worth about $200k. and this is in a small town in the south.

I can see why so many are frustrated with trying to buy a home.

More homes need to be built and it would help if regulations for home building were relaxed a bit from what I've read.

Yeah but now he can dangle student loan forgiveness and other free chit to this useless generation. He’ll have dependent voters for life.

That’s bidenomics jack

don't forget the insurance crisis and taxes

just get 3 jobs goy

Dems: Biden has done only good things. All the bad things were out of his control.

They really do believe this and will vote for him again.

People 30 and younger are cucks and won't fight back, huge inflation and mandated to get an experimental vaccine in order to go to college, maintain a job when here was zero data indicating the direct advantage. Keep taking it on the chin guys, you deserve it.

Just lol us Zoomers are priced out. Guess I’ll live in a Van

Learn to code jack

that means the BIDENOMICS is working, jack

ftfy

“Metro areas”

Don’t live in metro areas then. The fak

Don't worry there will be plenty of cheap houses when the market collapses in March of 2022.

So buy a below average house. Still better than no house.

My ass. Young millennials and zoomers have known nothing but a tight labor market and a bull stock market since graduation. Kids can easily get 70k+ out of college, and earn six figures in their 20s with many career paths. If you want to change careers never been easier. Want to work from home or hybrid never been easier.

Kids today have it easy

The reason it’s hard to believe is that it never happened, brokecel