Honolulu is rated first among the least affordable U.S. cities for home buyers, this according to the consumer advocacy website NerdWallet.
Compared to last year’s findings by the website, home buyers must spend three more months worth of income to afford to buy a home in Honolulu.
In its second annual study, NerdWallet’s team analyzed recent data for home prices from the National Association of Realtors and household income to formulate a home price-to-income ratio.
Honolulu heads the list in medium metro areas (population between 300,000 and 1,000,000), with a median household income of $72,292 compared to a median home price of $661,500, for a home price-to-income ratio of 9.2. Coming in second is Bridgeport-Stamford-Norwalk, CT with a 4.9 ratio.
The study mentions, in particular, the Rycroft Terrace project as an example of affordable housing in Honolulu, which KHON2 News reported on back in April (see related story).
Click here to see NerdWallet’s study.