Most Affordable Areas in the U.S. are in the Midwest

The Midwest and Southeast regions of the U.S. continue to experience above-average hiring and a large segment of current renters who earn enough income to qualify to buy a home.  Demand for housing is being driven by the labor market, which is steadily generating increases in wages.  On the list of the percentage of current renters who can afford to buy a home - St. Louis, Missouri checks in at number six.

The recent report by the National Association of Realtors reviewed employment growth, household income and qualifying income levels in nearly 100 of the largest metropolitan statistical areas across the country to determine which areas with employment gains above the recent national average also have the largest share of renters who can currently afford to buy a home.  

Data supports a significant increase in renter households — both millennials and those who lost their home — since the Great Recession, and especially in metro areas that have seen robust job creation and a resulting influx of new residents. This has led to a multi-year run-up in rents in several markets that have contributed to many of these renters' inability to advance into homeownership.  Of the top 10 metro areas with the highest share of renters who earn enough to buy, nine were either in the South or Midwest including 3 cities in Ohio. 

Leaders in every metro strive for a strong local economy, high quality of life and housing affordability for its residents.  A recent study labels these desired traits the "Housing Trilemma" and also reviewed them across the nation’s 100 largest metropolitan areas.   It found only 3 cities (all located in the Midwest) rank highly in all three categories.  Omaha, Oklahoma City and Des Moines top the list.   Check out this interactive tool to compare the quality of local economies, quality of life and housing affordability across the U.S.