"Home Affordability: Income Requirements Across the US"
According to a Redfin analysis, the typical household in the Philadelphia metro area needs to make $73,182 to afford a median-priced home, which is slightly more than the median household income of $72,933. The area ranks fifth in terms of the lowest income needed among the studied metros. Housing affordability challenges are attributed to a decade of insufficient housing supply, driving up prices, compounded by the recent increase in mortgage interest rates. Despite the current challenges, economists expect some improvement in the housing market over the next year, with anticipated drops in mortgage rates and an increase in housing supply.