Where can middle class families still qualify for an average home? Creditnews Research, an independent research house, studied the relationship between income distribution and housing costs across the 100 most populous metropolitan areas in America to find out.
The report used income tiers based on Pew Research's household income percentile ranges for economic classes:
- Lower-middle class: $30,001-$58,020
- Middle class: $58,021-$94,000
- Upper-middle class: $94,001-$153,000
Overall, Creditnews Research found that the Midwest and parts of the South are the most affordable options for middle-class households right now, while ultra-desirable coastal cities like San Francisco and New York City are not an option — even for affluent buyers.
The state of Ohio stands out as a place where America's middle class can find an affordable way of life. Three cities in the Buckeye State made Creditnews Research's top 10 ranking, thanks to homeowner incentives like grants and tax credits.
More than one city in Texas and Pennsylvania also made the top 10.
Youngstown, Ohio, is the most affordable metro area for America's middle class
Youngstown was once a bustling city thanks to the steel industry but suffered a a collapse in the 1970s. Since then, it has experienced an economic and cultural renaissance. Buyers need an income of just over $40,000 to qualify for a typical home.
According to the Ohio Housing Finance Agency, Youngstown offers incentives for prospective homebuyers, such as down payment assistance, grants for graduates, discounted mortgage interest rates for residents who serve the public, and more.
The Ohio city also has organizations like the Youngstown Neighborhood Development Corporation that are working on revitalizing urban neighborhoods in the area, according to U.S. News and World Report.
The cost of living in Youngstown is 18% lower than the national average with a median rent of $888.41, according to PayScale. The average home value in the city is $51,872, up 4.7% over the past year, according to Zillow.
10 most affordable metro areas for America's middle-class
- Youngstown-Warren-Boardman, OH-PA
- Toledo, OH
- McAllen-Edinburg-Mission, TX
- Scranton-Wilkes-Barre, PA
- Wichita, KS
- Pittsburgh, PA
- Akron, OH
- El Paso, TX
- Syracuse, NY
- Little Rock-North Little Rock-Conway, AR
Toledo takes the No. 2 spot on the list of most affordable metro areas for the U.S. middle class.
According to the report, Toledo's qualifying income for an average home is roughly $48,500, which falls within all three ranges of middle-class — lower, middle and upper.
The cost of living in Toledo is 41% less expensive than New York City, not including rent, according to Numbeo. The rent in the Ohio city is, on average, 74.5% lower than in the Big Apple.
Known as the "Glass City," Toledo offers residents a low cost of living and a plethora of outdoor activities.
It is just a short drive from other major cities, including Detroit and Cleveland and sits on the Maumee River, where people can go and take in the views or fish.
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