Madison is among the least affordable cities in the country for the typical homebuyer, according to a new study by NetCredit , an online lending company.
Among the 100 largest U.S. cities, Madison ranked as 22nd-least affordable for homebuyers — even less affordable than New York City.
To calculate affordability, NetCredit searched publicly available Zillow listings in each city and compared prices against the local median household income. An “affordable” home was defined as one where someone making the median income could afford to spend 28% or less of their monthly income on housing payments, per the U.S. Bank’s budgeting recommendations .
Here’s how home prices in Madison and Milwaukee stacked up against other large U.S. cities.
What percent of homes in Madison are affordable?
Only about 0.68% of homes in Madison are affordable for people making the local median household income, according to NetCredit.
The number may not come as a surprise: home prices and rents have skyrocketed in Madison in recent years, far surpassing the area’s median income.