The Cost of an Average US Home , Is About $40,000 Higher , Than Average Income .<br />According to a recent Redfin report, <br />homebuyers in the U.S. need to earn approximately <br />$115,000 a year in order to afford an average home. .<br />Redfin acknowledges that affordability <br />is a major issue which U.S. homebuyers face as <br />prices remain persistently high, 'Newsweek' reports. .<br />According to the real estate company, <br />"sky-high mortgage rates and still-rising home prices <br />have made it harder than ever" for U.S. buyers.<br />Zillow data suggests that the average <br />U.S. home value is $348,539, <br />up 1.1% compared to the same time in 2022. .<br />At the same time, mortgage rates have remained high, <br />with the average rate on a 30-year fixed mortgage <br />hitting 7.57%, the highest it's been in over two decades.<br />In a homebuyer's ideal world, <br />rising mortgage rates would <br />push demand and home prices <br />down enough to make up <br />for high interest payments. <br />That's not what's happening now, Chen Zhao, Redfin Economics Research Lead, via 'Newsweek'.<br />Although new listings are ticking up <br />slightly, inventory is still near record <br />lows as homeowners hang on to <br />their low mortgage rates—<br />and that's propping up prices, Chen Zhao, Redfin Economics Research Lead, via 'Newsweek'.<br />Although new listings are ticking up <br />slightly, inventory is still near record <br />lows as homeowners hang on to <br />their low mortgage rates—<br />and that's propping up prices, Chen Zhao, Redfin Economics Research Lead, via 'Newsweek'.<br />'Newsweek' reports that the $114,627 annual income <br />needed to purchase a median-price home is about <br />$40,000 more than an average American household makes. .<br />Buyers—particularly first-timers who <br />are committed to getting into a home <br />now—should think outside the box, Chen Zhao, Redfin Economics Research Lead, via 'Newsweek'.<br />Consider a condo or townhouse, <br />which are less expensive than <br />a single-family home, and/or <br />consider moving to a more <br />affordable part of the country, <br />or a more affordable suburb, Chen Zhao, Redfin Economics Research Lead, via 'Newsweek'
