OJO Labs: Phoenix Enters Top 10 Least Affordable Metros
Latest analysis from OJO Labs shows that Phoenix, AZ nudged out Denver and Seattle as one of the top 10 least affordable metros in the U.S.
OJO Labs' list of the top 10 least affordable metros in the U.S. was derived from an analysis of the median home sold price and median household income. The results showed that the median home sold price in Phoenix increased by 28.1% in Dec. 2021 to $410,000.
With the recent increase in median home sold price for Phoenix, the city's unaffordability score hit 5.47, moving Denver and Seattle out of the previous top10 least affordable metros in the U.S.
“The three most unaffordable markets in the U.S., all in California, remained unchanged with San Francisco as the leader, and Los Angeles and San Diego vying for second place. In December, it was Los Angeles that took the silver medal with a 14.7% year-over-year price increase, a median home sold price of $710,000, and an unaffordability score of 8.29,” according to Patrick Kearns, director of storytelling at OJO Labs.
“The metro area encompassing Mobile, Alabama and Pensacola, Florida also saw a new surge in unaffordability, surpassing the Miami-Fort Lauderdale, Florida metro area. Mobile saw its median home sold price climb 23% year over year to $307,500 in December.”
On a national level, the report states that unaffordability stayed essentially unchanged from Nov. 2021 to Dec. 2021, despite the median home price increasing 15% year-over-year during that period.