In the market? You now need to earn nearly $160K to buy a home on Oahu
A new report also says wages aren’t keeping pace with rising housing prices.
HONOLULU (HawaiiNewsNow) - Average wage earners on Maui would need to shell out 99.7 percent of their incomes on housing costs in order to purchase a home, a new analysis concludes.
That's one of the highest percentages in the nation.
To buy a home on Oahu, meanwhile, a household has to bring in nearly $159,000 — $158,948 to be exact. And average wage earners would need to spend 85 percent of their incomes on housing costs if they purchased a home.
The figures, included in a new nationwide report from ATTOM Data Solutions, underscore just how out of reach homeownership has become for many Hawaii residents.
And the situation is even worse in some parts of the mainland, including in California and New York.
In fact, the U.S. Home Affordability Report estimated that home prices nationally were at their least affordable levels in a decade and that in most counties, homeownership was out of reach for average wage earners.
The report said that in 69 of 440 U.S. counties analyzed, prospective homebuyers would need to bring in $100,000 a year or more to buy a median-priced home.
Two of those counties are in Hawaii: Oahu and Maui County.
In Maui County, residents would need to bring in at least $160,821 to buy.
On the Big Island, the figure is slightly more affordable — a little over $96,000.
Nationally, the county that requires the highest salary for homeownership was San Mateo, where an income of $377,210 is needed to buy a median-priced home.
Meanwhile, the report notes that on Oahu wage growth (at about 2 percent in 2017) isn’t keeping pace with soaring housing prices, which jumped about 6 percent last year.
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