Income needed to buy a house
Enter a price or pick a state to see the monthly cost of owning and the income lenders will expect, including property tax, insurance and mortgage insurance.
Income needed: $93,793 a year
Defaults: state median home value and property tax (Census ACS 2024), median homeowners insurance paid by owners with a mortgage (Census ACS 2024; quotes vary by home and ZIP code), 30-year rate 6.95% (Freddie Mac, week of 2026-09-17).
You'd need a household income of about $93,793 a year to buy a $313,200 home in Texas with $62,640 down.
Based on lenders' 28/36 rule: housing costs under 28% of gross income, all debt under 36%.
| Monthly cost | Amount |
|---|---|
| Principal & interest | $1,659 |
| Property tax | $342 |
| Homeowners insurance | $188 |
| Total | $2,188 |
Income needed to buy a median home, by state
| State | Median home | Monthly cost | Income needed | vs. median income |
|---|---|---|---|---|
| West Virginia | $170,800 | $1,063 | $45,542 | -25% |
| Mississippi | $186,500 | $1,236 | $52,991 | -10% |
| Arkansas | $215,600 | $1,365 | $58,506 | -6% |
| Alabama | $233,300 | $1,442 | $61,816 | -7% |
| Kentucky | $226,000 | $1,448 | $62,049 | -4% |
| Louisiana | $223,200 | $1,474 | $63,152 | +4% |
| Oklahoma | $222,100 | $1,501 | $64,324 | -3% |
| Indiana | $243,500 | $1,548 | $66,342 | -8% |
| Iowa | $227,300 | $1,567 | $67,151 | -11% |
| Ohio | $239,800 | $1,614 | $69,191 | -4% |
| Missouri | $254,400 | $1,655 | $70,941 | -1% |
| Kansas | $238,700 | $1,680 | $71,999 | -5% |
| Michigan | $254,200 | $1,692 | $72,520 | 0% |
| New Mexico | $279,900 | $1,735 | $74,367 | +10% |
| North Dakota | $266,100 | $1,750 | $74,999 | -4% |
| South Carolina | $299,500 | $1,814 | $77,726 | +7% |
| Pennsylvania | $277,600 | $1,832 | $78,509 | +1% |
| Nebraska | $263,100 | $1,884 | $80,722 | +6% |
| South Dakota | $289,600 | $1,924 | $82,476 | +7% |
| Wisconsin | $294,700 | $1,961 | $84,055 | +8% |
| Tennessee | $332,600 | $2,002 | $85,806 | +19% |
| North Carolina | $333,000 | $2,047 | $87,708 | +19% |
| Illinois | $280,700 | $2,052 | $87,942 | +6% |
| Wyoming | $339,500 | $2,099 | $89,976 | +19% |
| Maine | $341,900 | $2,159 | $92,538 | +21% |
| Georgia | $343,300 | $2,165 | $92,777 | +16% |
| Texas | $313,200 | $2,188 | $93,793 | +18% |
| Delaware | $371,600 | $2,200 | $94,265 | +8% |
| Minnesota | $344,600 | $2,270 | $97,272 | +12% |
| Vermont | $352,800 | $2,378 | $101,916 | +23% |
| Alaska | $376,500 | $2,435 | $104,341 | +9% |
| Virginia | $403,500 | $2,484 | $106,440 | +16% |
| Arizona | $426,000 | $2,507 | $107,457 | +32% |
| Florida | $396,900 | $2,559 | $109,667 | +41% |
| Idaho | $446,400 | $2,619 | $112,251 | +38% |
| Montana | $425,400 | $2,632 | $112,817 | +50% |
| Nevada | $455,500 | $2,676 | $114,677 | +41% |
| Maryland | $436,300 | $2,770 | $118,716 | +15% |
| Connecticut | $396,900 | $2,789 | $119,521 | +24% |
| Rhode Island | $455,700 | $2,969 | $127,223 | +52% |
| New York | $449,800 | $3,037 | $130,169 | +52% |
| Oregon | $497,500 | $3,053 | $130,842 | +54% |
| New Hampshire | $458,800 | $3,088 | $132,355 | +33% |
| Utah | $545,200 | $3,201 | $137,189 | +42% |
| Colorado | $574,600 | $3,466 | $148,554 | +53% |
| New Jersey | $496,000 | $3,520 | $150,876 | +45% |
| Washington | $602,200 | $3,692 | $158,207 | +59% |
| Massachusetts | $607,400 | $3,861 | $165,477 | +58% |
| Washington, DC | $733,400 | $4,364 | $187,026 | +70% |
| California | $759,500 | $4,592 | $196,807 | +97% |
| Hawaii | $875,900 | $4,962 | $212,642 | +111% |
20% down, 30-year fixed at 6.95% (Freddie Mac PMMS, week of 2026-09-17), state median home value and property tax (Census ACS 2024), median homeowners insurance for homes with a mortgage (Census ACS 2024). "vs. median income" compares with the state's median household income.
Frequently asked questions
How much income do I need to buy a house?
It depends on the price, down payment, mortgage rate, property tax and insurance. Lenders usually want total housing costs under 28% of gross income. For the U.S. median home value of $360,600 with 20% down at 6.95%, that works out to roughly $92,777 a year in a typical state.
What is the 28/36 rule?
Housing costs (principal, interest, property tax, insurance, mortgage insurance and HOA) should be no more than 28% of gross monthly income, and all monthly debt payments including housing should be no more than 36%.
Which state needs the least income to buy a home?
West Virginia, where a median-priced home needs about $45,542 a year with 20% down.
New to the area? Read should you rent or buy after moving.