You’ll Need To Earn $400K or More To Afford Homes in These 15 ZIP Codes

Home prices are rising at a faster pace than wages, making it difficult for the average income earner to afford a home. In some ZIP codes, the discrepancy between earnings and home prices is even higher — and in these 15 ZIP codes, you would need to earn a salary of $400,000 or higher to afford the average home.

Read More: A $150K Income Is ‘Lower Middle Class’ In These High-Cost Cities

GOBankingRates determined the ZIP codes that require prospective homebuyers to earn $400,000 or more by analyzing the 2,500 largest ZIP codes in the U.S. along with the average home value. Once this figure was found, GOBankingRates found the monthly mortgage payment for each ZIP code by assuming a 30-year fixed-rate loan with a 6.62% interest rate. From there, GOBankingRates found the ZIP codes where one would need a six-figure salary to comfortably afford the mortgage payment, defined as no more than 30% of gross income going towards the mortgage payment. If a city had multiple ZIP codes qualify, only the three most expensive were included in the final rankings.

Here’s a look at the ZIP codes that only high income-earners could afford.

• Average home value: $3,289,757
• Monthly mortgage payment: $16,843
• Salary needed: $673,722

• Average home value: $3,263,479
• Monthly mortgage payment: $16,709
• Salary needed: $668,340

• Average home value: $3,178,598
• Monthly mortgage payment: $16,274
• Salary needed: $650,957

• Average home value: $2,940,281
• Monthly mortgage payment: $15,054
• Salary needed: $602,151

• Average home value: $2,717,587
• Monthly mortgage payment: $13,914
• Salary needed: $556,545

• Average home value: $2,648,721
• Monthly mortgage payment: $13,561
• Salary needed: $542,441

• Average home value: $2,617,860
• Monthly mortgage payment: $13,403
• Salary needed: $536,121

• Average home value: $2,322,940
• Monthly mortgage payment: $11,893
• Salary needed: $475,724

• Average home value: $2,322,521
• Monthly mortgage payment: $11,891
• Salary needed: $475,638

• Average home value: $2,305,852
• Monthly mortgage payment: $11,806
• Salary needed: $472,224

• Average home value: $2,225,564
• Monthly mortgage payment: $11,395
• Salary needed: $455,782

• Average home value: $2,086,698
• Monthly mortgage payment: $10,684
• Salary needed: $427,343

• Average home value: $2,012,687
• Monthly mortgage payment: $10,305
• Salary needed: $412,186

• Average home value: $1,993,156
• Monthly mortgage payment: $10,205
• Salary needed: $408,186

• Average home value: $1,957,501
• Monthly mortgage payment: $10,022
• Salary needed: $400,884

Photo disclaimer: Photos may not depict the exact ZIP code.

Methodology: For this piece, GOBankingRates found the 2,500 largest ZIP codes and the (1) 2023 average home value from Zillow’s November 2023 data. Once this figure was found GOBankingRates found the (2) monthly mortgage payment for each ZI{ code by assuming one is taking a 30-year fixed-rate loan with a 6.62% interest rate, as sourced from the Federal Reserve Bank of St. Louis on Jan. 4, 2024. From there, GOBankingRates found the 50 most expensive ZIP codes where one would need a six-figure salary to comfortably afford the mortgage payment (no more than 30% of gross income going towards the mortgage payment). If a city had multiple ZIP codes qualify, only the three most expensive were included in the final rankings. All data was collected and is up to date as of Jan. 8, 2024.