Way to go, San Jose! You’re the least affordable city in the U.S.A. and the fifth least affordable city in the world.
In fact, you are evenless affordable than San Francisco, which is only the ninth least affordable city on Earth.
All this is according to the Demographia International Housing Affordabilty Survey, an annual ranking of more than 400 cities around the world.
From the top, the 10 least affordable housing markets in the world are:
1! Hong Kong
2! Sydney, Australia
3! Vancouver, Canada
4! Auckland, New Zealand
5! San Jose, hooray!
6! Melbourne, Australia
8! Los Angeles
9! San Francisco
10! Bournemouth and Dorset, United Kingdom
In Australia, New Zealand, the United Kingdom and large parts of the United States, housing prices “have gone through the (now unaffordable) roof,” writes Dr. Oliver Hartwich, an economist in New Zealand who penned the report’s introduction.
Thanks for the insight.
The report notes that cities in the Midwest and upstate New York are among the most affordable in the U.S. However, if you are looking for a reasonably priced home and willing to move far away, try Germany.
Hartwich puts it like this: “Germany is probably the country with the most boring housing market in the world. It is a place where nothing ever happens (at least as far as housing is concerned). German house prices remain stable, and if it had not been for the euro crisis and negative interest rates, the Germans would probably still be able to buy houses for the same prices in real terms that they paid twenty or thirty years ago.”
Here is the entire report.
Keep in mind that different outfits weigh data differently. Just last month, the CoreLogic real estate information service reported that San Francisco County is more expensive than Santa Clara County (which includes San Jose) — and that San Mateo County is costlier than either.
According to CoreLogic, the median cost of a single family house in Santa Clara County is $1,093,000. In San Francisco, it is $1,325,000. In San Mateo, it is $1,385,000.
Top: A crane rises over an apartment house under construction in downtown San Jose. (Karl Mondon/Bay Area News Group)
Tags: affordable housing, Bay Area real estate, Hong Kong, median prices, Real Estate, san francisco, San Jose, single family homes, Vancouver