Study: Phoenix home ownership affordable for most high school grads
PHOENIX — Buying a house was determined affordable for high school grads in 36 of the 50 largest cities in the U.S., including Phoenix.
According to Zillow, median mortgage payments have dipped below median rent payments per month, but down payment costs have become the primary prohibitor for people trying to buy a house.
Saving for a down payment is taking a year-and-a-half longer than it did 30 years ago for home buyers.
For Phoenix, Zillow determined the median income for those with a high school education to be $46,840 and the median monthly mortgage payment to be $1,050. These numbers means that the average person should be able to afford a mortgage while spending less than 30% of their annual income, a number traditionally used as a rule of thumb for home buyers.
The median monthly rent was listed at $1,464.
The release said that low mortgage rates have dropped monthly payments in recent months.
Of the 14 cities the study determined high school grads could not afford, 11 of them were deemed affordable with a bachelor’s degree.
The other three, San Jose, San Francisco and Los Angeles, required an advanced degree.
Oklahoma City was the only city in the study that required less than a high school degree to afford a house.