On The Market

3 of the Cheapest Places to Buy a House (That We Would Invest In)

Oct 21, 2024

In this conversation, Austin Wolf, a market intelligence analyst at BiggerPockets, dives into America's housing affordability crisis. He reveals promising markets for investment that still offer relatively affordable home prices amidst rising costs. Austin compares U.S. affordability with other developed countries, highlighting key statistics. He also discusses the least affordable areas and shares insights on emerging markets where job and population growth align with investment potential. It’s a compelling analysis for any real estate investor!

35:50

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Austin Wolf

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Quick takeaways

The podcast highlights a significant affordability crisis in the U.S. housing market, with 78% of potential homeowners feeling excluded from homeownership.

It identifies promising investment markets, like Oklahoma City and Des Moines, that balance affordability with job and population growth potential.

Deep dives

Current Housing Affordability Crisis

A significant 78% of prospective homeowners in the U.S. feel that home ownership is out of their financial reach, highlighting a widespread affordability crisis in the housing market. Close to half of the American population struggles to afford a median-priced home, with the national average remaining significantly above many household incomes. The discussion emphasizes how the perception of this crisis can be overwhelming, but it also serves as a catalyst for identifying markets that still maintain affordability. By analyzing original research, there is a goal to pinpoint U.S. markets where housing remains attainable for buyers.

Intro

3min

Understanding Affordability in Real Estate Investments

4min

Understanding Housing Affordability Challenges in Today's Market

3min

Exploring U.S. Housing Affordability

11min

Investing in Emerging Markets

6min

Navigating Housing Affordability Challenges

8min

Housing affordability in America is the lowest it’s been in forty years. Every year, there are fewer and fewer affordable places to buy a house, and many of the cities that used to be affordable have become so popular that they’re now the pricey ones. Are there any affordable housing markets left, and if so, which ones should investors pay the most attention to? We did a new data analysis on American housing markets to bring the exact list to you today.

Austin Wolff, our own BiggerPockets market intelligence analyst, spent some time analyzing housing markets that not only have job, population, and wage growth but also have affordable home prices perfect for investors. Today, he’s sharing this new list, along with some of the least affordable housing markets that are nearly impossible to break into without millions of dollars.

But is America the only country suffering from a stubborn unaffordability crisis? Many of the top economies are also feeling the sting of high inflation, limited real wage growth, and strong home price appreciation. But are we doing better or worse than many of the top developed countries? We’re sharing those stats, too!

In This Episode We Cover

America’s affordable housing crisis explained, and whether it’s going to get better or worse

Most affordable housing markets with job, population, and income growth

Comparing American home prices vs. other top economies’ home prices

The least affordable real estate markets with the highest home-price-to-wage ratios

The single most affordable city in the United States that could be an excellent investing market

And So Much More!

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