US Median Home Income Requirement Rises to $112,695

HSH.com reports that the annual income required to purchase a median-priced home in the United States rose to $112,695 in the second quarter of 2026. This requirement is approximately 29% higher than the 2025 U.S. median household income of $87,500.

Affordability varies sharply by region. San Jose requires the highest annual income at $492,364, while Pittsburgh remains the most affordable major metro at $71,567. Although affordability improved in 30 of 50 major metros over the previous year due to increased housing starts in the South and West, recent economic shifts have eroded those gains.

Mortgage rate hikes have further strained buyers. Freddie Mac reported that the average 30-year mortgage rate reached 7.40% in October 2026. This rate increase is projected to push the required national median income for a median-priced home up to approximately $122,600.