Business Insider found the salary needed to afford median monthly mortgage payments in the 17 most expensive U.S. cities.
At the top of the list, unsurprisingly, was San Francisco, where a salary of $202,094 is needed to afford the median mortgage payments. Several other California cities made the list, including San Jose ($152,697 salary needed), Los Angeles ($121,939) and San Diego ($116,652). The most affordable city in the top 17 was Las Vegas, where you need to make $45,998 to afford a median mortgage payment.
The report's findings are based on homebuyers who spend 30% or less of their gross income on monthly payments. The report assumes a 20% down payment, as well as a 4.54% mortgage interest rate on 2018 data and a 3.99% mortgage interest rate on 2017 data, the average annual Freddie Mac 30-year fixed rates. Data on median household incomes and median value of owner-occupied housing units were provided to Unison by S&P Global.
