A new housing cost analysis from Realtor.com shows the Baltimore region retaining housing affordability; the DC, Maryland, Virginia region losing affordability.
A new housing cost analysis published by Realtor.com examines affordability across most of the country’s major metropolitan areas. Housing affordability has been a major issue in Maryland and received significant attention during the 2024 legislative session. Governor Moore introduced three bills aimed at encouraging affordable housing development, and MACo adopted advancing comprehensive housing solutions as one of the association’s top four legislative initiatives. The analysis looked at two markets within Maryland, the Baltimore-Columbia-Towson and DC-Maryland-Virginia regions.
Baltimore-Columbia-Towson
Between June 2016 and June 2024, the Baltimore region largely retains housing affordability. Data from the report:
Median-priced home, June 2016: $289,900
Minimum required income, June 2016: $58,628
Median household income, June 2016: $76,788
Median-priced home, June 2024: $369,900
Minimum required income, June 2024: $99,300
Median household income, June 2024: $99,866
The big finding is that household incomes of less than $100,000 per year can still afford to purchase a home.
The data also breaks down the cost difference between single-family and multifamily homes.
Single-Family
Minimum required income, June 2016: $74,981
Median household income, June 2016: $76,788
Minimum required income, June 2024: $154,333
Median household income, June 2024: $99,866
Between 2016 and 2024, the divide between the median and minimum incomes needed to purchase a single-family home has grown considerably, making single-family homes unattainable for many.
Multifamily
Minimum required income, June 2016: $37,791
Median household income, June 2016: $76,788
Minimum required income, June 2024: $64,428
Median household income, June 2024: $99,866
In contrast to single-family homes, the region’s multifamily market has remained affordable.
DC-Maryland-Virginia (DMV)
It is important to note that this analysis looked at the entire region and not just the Maryland counties within. Between June 2016 and June 2024, the DMV region largely lost housing affordability. Data from the report:
Median-priced home, June 2016: $439,999
Minimum required income, June 2016: $88,984
Median household income, June 2016: $95,843
Median-priced home, June 2024: $632,004
Minimum required income, June 2024: $169,663
Median household income, June 2024: $130,503
The big finding is that median household incomes are roughly $40,000 below the minimum income required to purchase a house. This is in contrast to 2016, when median incomes were roughly $7,000 above what it would cost to afford a home.
Single-Family
Minimum required income, June 2016: #102,939
Median household income, June 2016: $95,843
Minimum required income, June 2024: $205,339
Median household income, June 2024: $130,503
While somewhat unaffordable in 2016, single-family homes have become even more out of reach for most buyers.
Multifamily
Minimum required income, June 2016: $68,558
Median household income, June 2016: $95,843
Minimum required income, June 2024: $134,119
Median household income, June 2024: $130,503
In contrast to single-family homes, the region’s multifamily market has remained closer to affordable, although it is moving toward unaffordability.
