2026 Mortgage Affordability Index:
Income Required to Buy a Home in Every State
A buyer putting 20% down on the median-priced home in California needs $194,143 in annual gross income — 4.6× more than the $41,829 required in West Virginia. This report analyses the full cost of homeownership across all 50 states using Q1 2026 median home prices, state effective property tax rates, and the 28% front-end DTI rule used by most lenders.
By Gary Sing · Garypedia.com · Data: Q1 2026 · Rate: 6.5% fixed 30-year · Down payment: 20% · Insurance: 0.45%/yr
Key findings
Most affordable state
West Virginia
$41,829/yr to qualify
Least affordable state
California
$194,143/yr to qualify
Affordability spread
4.6×
most vs least affordable
National average needed
$91,507
at 6.5%, 20% down
Highest property tax/mo
New Jersey
$836/mo in taxes
Lowest tax rate
Hawaii (0.27%)
$162/mo in taxes
All 50 states
Income required to buy the median home · Sorted by income needed (ascending) · Click any column to re-sort
| # | State | Median PriceQ1 2026 | 20% Downcash needed | Mo. P&I30yr @ 6.5% | Mo. Taxproperty tax | Mo. TotalP&I + tax + ins | Income Needed ↑28% DTI rule |
|---|---|---|---|---|---|---|---|
| 1 | West VirginiaWV | $165,000 | $33,000 | $834 | $80 | $976 | $41,829 |
| 2 | MississippiMS | $165,000 | $33,000 | $834 | $91 | $987 | $42,300 |
| 3 | ArkansasAR | $176,000 | $35,200 | $890 | $91 | $1,047 | $44,871 |
| 4 | LouisianaLA | $198,000 | $39,600 | $1,001 | $91 | $1,166 | $49,971 |
| 5 | OklahomaOK | $200,000 | $40,000 | $1,011 | $152 | $1,238 | $53,057 |
| 6 | AlabamaAL | $218,000 | $43,600 | $1,102 | $73 | $1,257 | $53,871 |
| 7 | KentuckyKY | $210,000 | $42,000 | $1,062 | $140 | $1,281 | $54,900 |
| 8 | IowaIA | $207,000 | $41,400 | $1,047 | $262 | $1,387 | $59,443 |
| 9 | MissouriMO | $228,000 | $45,600 | $1,153 | $173 | $1,412 | $60,514 |
| 10 | IndianaIN | $235,000 | $47,000 | $1,188 | $147 | $1,423 | $60,986 |
| 11 | KansasKS | $218,000 | $43,600 | $1,102 | $243 | $1,427 | $61,157 |
| 12 | OhioOH | $225,000 | $45,000 | $1,138 | $298 | $1,520 | $65,143 |
| 13 | MichiganMI | $235,000 | $47,000 | $1,188 | $276 | $1,552 | $66,514 |
| 14 | NebraskaNE | $235,000 | $47,000 | $1,188 | $319 | $1,595 | $68,357 |
| 15 | North DakotaND | $262,000 | $52,400 | $1,325 | $210 | $1,633 | $69,986 |
| 16 | South CarolinaSC | $285,000 | $57,000 | $1,441 | $133 | $1,681 | $72,043 |
| 17 | New MexicoNM | $292,000 | $58,400 | $1,477 | $158 | $1,745 | $74,786 |
| 18 | WyomingWY | $308,000 | $61,600 | $1,557 | $149 | $1,822 | $78,086 |
| 19 | IllinoisIL | $255,000 | $51,000 | $1,289 | $440 | $1,825 | $78,214 |
| 20 | WisconsinWI | $268,000 | $53,600 | $1,355 | $375 | $1,831 | $78,471 |
| 21 | PennsylvaniaPA | $282,000 | $56,400 | $1,426 | $350 | $1,882 | $80,657 |
| 22 | South DakotaSD | $298,000 | $59,600 | $1,507 | $283 | $1,902 | $81,514 |
| 23 | DelawareDE | $325,000 | $65,000 | $1,643 | $154 | $1,919 | $82,243 |
| 24 | North CarolinaNC | $325,000 | $65,000 | $1,643 | $209 | $1,974 | $84,600 |
| 25 | GeorgiaGA | $325,000 | $65,000 | $1,643 | $225 | $1,990 | $85,286 |
| 26 | TennesseeTN | $335,000 | $67,000 | $1,694 | $179 | $1,999 | $85,671 |
| 27 | AlaskaAK | $320,000 | $64,000 | $1,618 | $317 | $2,055 | $88,071 |
| 28 | TexasTX | $315,000 | $63,000 | $1,593 | $420 | $2,131 | $91,329 |
| 29 | ArizonaAZ | $365,000 | $73,000 | $1,846 | $183 | $2,166 | $92,829 |
| 30 | MinnesotaMN | $345,000 | $69,000 | $1,745 | $313 | $2,187 | $93,729 |
| 31 | MaineME | $355,000 | $71,000 | $1,795 | $322 | $2,250 | $96,429 |
| 32 | IdahoID | $380,000 | $76,000 | $1,922 | $219 | $2,283 | $97,843 |
| 33 | NevadaNV | $400,000 | $80,000 | $2,023 | $183 | $2,356 | $100,971 |
| 34 | MontanaMT | $390,000 | $78,000 | $1,972 | $241 | $2,359 | $101,100 |
| 35 | VirginiaVA | $392,000 | $78,400 | $1,982 | $261 | $2,390 | $102,429 |
| 36 | FloridaFL | $405,000 | $81,000 | $2,048 | $300 | $2,500 | $107,143 |
| 37 | MarylandMD | $400,000 | $80,000 | $2,023 | $357 | $2,530 | $108,429 |
| 38 | VermontVT | $375,000 | $75,000 | $1,896 | $569 | $2,606 | $111,686 |
| 39 | ConnecticutCT | $385,000 | $77,000 | $1,947 | $574 | $2,665 | $114,214 |
| 40 | OregonOR | $435,000 | $87,000 | $2,200 | $352 | $2,715 | $116,357 |
| 41 | New YorkNY | $415,000 | $83,000 | $2,099 | $484 | $2,739 | $117,386 |
| 42 | Rhode IslandRI | $425,000 | $85,000 | $2,149 | $496 | $2,804 | $120,171 |
| 43 | UtahUT | $485,000 | $97,000 | $2,453 | $226 | $2,861 | $122,614 |
| 44 | New HampshireNH | $415,000 | $83,000 | $2,099 | $667 | $2,922 | $125,229 |
| 45 | ColoradoCO | $500,000 | $100,000 | $2,528 | $217 | $2,933 | $125,700 |
| 46 | New JerseyNJ | $450,000 | $90,000 | $2,276 | $836 | $3,281 | $140,614 |
| 47 | WashingtonWA | $545,000 | $109,000 | $2,756 | $395 | $3,355 | $143,786 |
| 48 | MassachusettsMA | $565,000 | $113,000 | $2,857 | $527 | $3,596 | $154,114 |
| 49 | HawaiiHI | $720,000 | $144,000 | $3,641 | $162 | $4,073 | $174,557 |
| 50 | CaliforniaCA | $750,000 | $150,000 | $3,793 | $456 | $4,530 | $194,143 |
State names link to pre-filled mortgage calculators with local property tax rates.
Regional breakdown
Average income needed to buy the median home within each US census region
Northeast
$117,833
average income needed
South
$72,498
average income needed
Midwest
$70,336
average income needed
West
$116,219
average income needed
Notable findings
New Jersey's property taxes are the defining cost.
At 2.23% effective rate, New Jersey buyers pay $836/month in property taxes on the $450K median home — more than the entire monthly P&I payment in most affordable states. This is the single largest carrying cost gap between states.
No-income-tax states carry a property tax trade-off.
Texas offers no state income tax but a 1.60% effective property tax rate — adding roughly $420/month to the payment. Tennessee, by contrast, pairs no state income tax with a 0.64% property tax rate, making it one of the most tax-efficient markets nationally for homeowners.
Hawaii's low tax rate doesn't rescue affordability.
At 0.27%, Hawaii has the lowest property tax rate in the nation. But a $720,000 median home still requires $174,557/year to qualify — the 2nd highest income requirement nationally, behind only California.
The Midwest hides a property tax penalty.
States like Illinois (2.07%), Nebraska (1.63%), Wisconsin (1.68%), and Ohio (1.59%) have below-national-average home prices but property tax rates significantly above the national average (~1.1%). Buyers focused on sticker price often underestimate the ongoing monthly cost in these states.
Methodology
Press & media
This data is free to reproduce in editorial content with attribution. Interactive state-level mortgage calculators are available for all 50 states.
Source: Garypedia.com Mortgage Affordability Index 2026https://garypedia.com/research/mortgage-affordability-2026Explore a specific state
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