34 US cities where people can barely afford homes

Reuters

• The cost to buy a home is more expensive than it's ever been.
• SmartAsset recently released a new report ranking the US cities with the most severely cost-burdened households — households who spend at least half of their income on housing.
• In 34 cities, at least 13% of households are severely cost-burdened — almost half of the cities are in California.

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The housing market is on the climb.

The value of homes has increased by 73% since the 1960s, when adjusted for inflation, Business Insider previously reported, citing a Student Loan Hero report.

It's so expensive that, in some cities, the average home outweighs the average income by so much that it can take nearly a decade to save for a 20% down payment, according to a SmartAsset report released earlier this year.

Now, SmartAsset is back with new data that highlights the high cost of homeownership: the US cities with the most severely housing cost-burdened households (defined as households who spend more than 50% of their income on housing).

To determine this list, SmartAsset gathered US Census Bureau data for the percentage of severely housing-cost burdened households among homeowners in 167 cities, ranking each city by the amount of people spending at least half of their income on housing.

In 34 cities, 13% or more households spend at least half of their income on housing. Of these cities, 15 are in California, making it the state with the most severely housing-cost burdened cities. Florida ranks second, home to four of the most severely housing cost-burdened cities.

See which other cities made the ranks below.

34. Detroit, Michigan

Kemboslice/Shutterstock

Percentage of severely housing cost-burdened households: 13.06%

33. Shreveport, Louisiana

Sean Pavone/Shutterstock

Percentage of severely housing cost-burdened households: 13.12%

32. West Covina, California

Kit Leong/Shutterstock

Percentage of severely housing cost-burdened households: 13.17%

See the rest of the story at Business Insider

See Also:

• The best and worst states for paying off student debt, ranked
• There's a $1 billion plot of land for sale on an LA hilltop big enough to fit a home the size of Disneyland, but only about 100 people in the world could buy it
• The Obamas are worth 30 times more than when they entered the White House in 2008 — here's how they spend their millions

SEE ALSO: Millennials are waiting longer than ever to buy homes — here's how many years it takes to save for a down payment in 25 major US cities

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