3 Texas Cities Where the Average Family Can’t Afford a Starter Home — and 2 Where They Can

The typical U.S. starter home now costs $250,000, which is just barely affordable for a family earning the median household income, a new Redfin study found. Homebuyers must now earn $79,252 annually to afford the typical starter home, while the average U.S. household earns roughly $84,000.

Among the 50 most populous U.S. cities, a family earning the local median income can’t afford a starter home in about half, the study found.

Here’s a look at the major Texas cities where starter homes are and are not affordable for the average family.

• Can the average family afford a starter home here? No
• Median sale price of starter home:  $327,000
• Median household income: $103,945
• Income needed to afford a starter home: $117,781

• Can the average family afford a starter home here? No
• Median sale price of starter home: $275,000
• Median household income: $98,122
• Income needed to afford a starter home: $98,370

• Can the average family afford a starter home here? No
• Median sale price of starter home: $245,250
• Median household income: $89,312
• Income needed to afford a starter home: $86,474

• Can the average family afford a starter home here? Yes
• Median sale price of starter home: $220,000
• Median household income: $88,758
• Income needed to afford a starter home: $78,180

• Can the average family afford a starter home here? Yes
• Median sale price of starter home: $205,000
• Median household income: $80,029
• Income needed to afford a starter home: $73,435

Data is sourced from Redfin and is accurate as of July 2024.