Once a key achievement for the middle class and a pillar of the American Dream, homeownership has become increasingly inaccessible.
Why? It comes down to a few big factors, including sky-high interest rates on mortgages, a housing inventory shortage and the widespread failure of wages to keep up with rising costs of living in the U.S.
Though many who would like to buy a home may find the process to be financially impossible and thus stick to renting, there are also plenty of folks purchasing homes. Where are those with the power of choice most frequently looking to buy?
A recent study from Badeloft, shared with GOBankingRates via email, determined the nine most sought-after U.S. states for homebuyers. The study factored in key criteria like number of online searches for buying a house, the average price of homes, cost of living, the median household income and current mortgage interest rates in each state. The states were then ranked according to the volume of homebuying searches, while the other criteria were calculated to provide additional insights and context to the rankings.
Here’s a look at the states where Americans are itching to put down roots.
Massachusetts
- Average home price: $614,700
- Cost of living: $1,105
- Median household income: $63,498
- Search count (“buy a house in…”): 1,693,410
Michigan
- Average home price: $252,200
- Cost of living: $1,426
- Median household income: $89,645
- Search count (“buy a house in…”): 1,618,330
Illinois
- Average home price: $280,900
- Cost of living: $1,355
- Median household income: $72,205
- Search count (“buy a house in…”): 1,796,270
Pennsylvania
- Average home price: $278,700
- Cost of living: $1,205
- Median household income: $66,559
- Search count (“buy a house in…”): 2,105,290
Georgia
- Average home price: $375,300
- Cost of living: $1,499
- Median household income: $68,957
- Search count (“buy a house in…”): 2,027,110
New Jersey
- Average home price: $477,600
- Cost of living: $1,173
- Median household income: $89,296
- Search count (“buy a house in…”): 2,087,570
North Carolina
- Average home price: $371,100
- Cost of living: $1,278
- Median household income: $61,972
- Search count (“buy a house in…”): 2,333,510
Florida
- Average home price: $407,200
- Cost of living: $1,091
- Median household income: $63,062
- Search count (“buy a house in…”): 2,964,750
California
- Average home price: $785,900
- Cost of living: $1,393
- Median household income: $84,907
- Search count (“buy a house in…”): 4,299,130
All information sourced via Badeloft and accurate as of June 2024.
More From GOBankingRates