In half of the 50 most populous metro cities in the United States, a starter home isn’t affordable for a household making the local median income; however, Philadelphia is in the top five most affordable markets for starter homes, writes Michaelle Bond for The Philadelphia Inquirer.

This is according to a new Redfin analysis.

The combined median household income in Philadelphia and Delaware Counties is $72,840 according to Census Bureau data projections.

According to the Redfin analysis, buyers in these counties needed to make $46,059 to afford the $140,000 cost of a median-priced starter home in July.

This marks a 12 percent necessary income increase from the same time last year.

Blakely Minton, a Redfin real estate agent who works in Philadelphia and Delaware County, said high housing density in these counties is one of the reasons for their relative affordability compared to the national average.

Nationwide, buyers needed to make $79,252 to afford the $250,000 price of a typical starter home in July, which set a record.

The median monthly mortgage payment for a starter home in Philadelphia is $1,151.

Redfin defines starter homes as homes with sale prices in the 5th to 35th percentile of the market.

Read more about Philly’s market for starter homes compared to other metro cities in The Philadelphia Inquirer.

_____

Editor’s Note: This post first appeared on PHILADELPHIA Today in September 2024.