A new Homes for Heroes housing affordability analysis found that households led by teachers, healthcare workers, firefighters, law enforcement professionals, military service members and veterans, or “hero households,” are generally better positioned for homeownership than the typical U.S. household.
The study found hero households can afford the median-priced home in as many as 39 of the nation’s 50 largest metropolitan areas, while the median-income household is priced out of all but one major metro.
Researchers compared hero household incomes with the income needed to purchase the median-priced home in each market, factoring in home prices, mortgage rates, property taxes, homeowners insurance and a 3% down payment.
“Homeownership has become out of reach for too many individuals and families across the U.S.,” said Amit Kulkarni, interim CEO of Homes for Heroes. “The encouraging news is that Hero households continue to be among the strongest positioned homebuyers because of their stable careers and incomes, with many major metro areas still offering an attainable path to homeownership.”
Midwest offers strongest affordability
The report found the most affordable markets for Hero households are concentrated in the Midwest and Great Lakes region, where lower home prices remain more closely aligned with household incomes.
Pittsburgh ranked as the most affordable metro for teachers, healthcare professionals, and fire and law enforcement households, while Buffalo ranked first for military service members and veterans.
Detroit, Cleveland, Indianapolis and St. Louis also consistently ranked among the most affordable markets.
At the other end of the spectrum, high-cost coastal markets posted the largest affordability gaps.
Los Angeles ranked as the least affordable metro for teachers and healthcare professionals, while San Jose, California, ranked last for fire and law enforcement professionals and military households. San Francisco, San Diego and New York also ranked among the least affordable markets across Hero occupations.
Young and single-income buyers face challenges
Despite stronger affordability for established households, the report found younger hero professionals face significant barriers to homeownership.
Among hero households headed by someone under age 35, only five of the nation’s 50 largest metro areas were affordable for teachers and healthcare professionals: Buffalo, Cleveland, Detroit, Pittsburgh and St. Louis.
The study also found single-income homeownership has become increasingly difficult. Teachers and healthcare professionals earning median wages could not afford the median-priced home on a single income in any of the nation’s 50 largest metro areas.
Fire and law enforcement professionals and military personnel qualified as single-income buyers in only a handful of markets, including Buffalo, Pittsburgh and Detroit.
“Our research underscores the need to expand housing affordability so teachers, health care professionals, first responders and military families can continue living in the communities they serve,” Kulkarni said.
This article was generated using HousingWire Automation and reviewed by a HousingWire editor before publication.
