California has a large deficit of affordable homes...
It's no secret that many middle-class families can't buy a home in California. The average price of a house in Los Angeles is approximately $975,000, according to data published by Redfin. Meanwhile, it only costs $341,000 to buy a house in Houston, and $448k to purchase a home in Nashville. Put another way, it's no secret that people are fleeing California and moving to different regions of the country where life is much more affordable.
According to a report published by CNBC, California is one of several states facing a severe lack of affordable homes - and the situation is unlikely to improve anytime soon. "The areas that have the biggest deficit of affordable homes are El Paso, Texas; Boise, Idaho; Spokane, Washington; several Florida markets; and of course, Riverside and Los Angeles, California, which are some of the priciest housing markets in the nation."
So, what cities and states have the most affordable homes? The answer is surprising. According to CNBC, "the four cities with the largest supply of affordable homes are all in Ohio. They are followed by Syracuse, New York; Pittsburgh, Pennsylvania; and St. Louis, Missouri."
“Middle-income buyers face the largest shortage of homes among all income groups, making it even harder for them to build wealth through homeownership,” said Nadia Evangelou, a senior economist for the National Association of Realtors in CNN. “A two-fold approach is needed to help with both low affordability and limited housing supply,” Evangelou continued. “It’s not just about increasing supply. We must boost the number of homes at the price range that most people can afford to buy.”
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