In Massachusetts, the median salary is $86,840.
And the median home price is $596,000.
Do the math on that and show me how it works.
Wealth creation for most people starts with purchase of a home that grows in value over time. A stable place where you can raise a family. That avenue is closed off for a heck of a lot of young people.
A person earning the median salary in MA can’t afford to buy a median-priced home … as a first-time home buyer.
But if that person earning $86,840 has $200,000-$300,000 of equity in a home he bought ten years ago, then the $596,000 purchase price of the median home is not so unrealistic.