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It is calculated as the median home value divided by the median annual contract rent (ie. Monthly housing costs include mortgage payments, real estate taxes, insurance, utilities, and condo fees.When comparing to monthly rental costs, be careful to also look at the median number of bedrooms.Values under 15 indicate that it is likely more affordable to buy.Values between 15 and 20 indicate that extra judgment must be taken when making housing decisions.
The places that are legal entities provide governmental functions.Fees that Niche receives for ads do not affect the terms you may be offered by the lender you choose.There are many additional borrowing options available.This threshold has become a measure of housing affordability and is intended to make sure that households have enough money to for other needs including food, clothing, transportation, etc.Anyone spending more than 30% of their income on housing is considered house burdened because it becomes difficult to afford many of the other necessities of living. When comparing to monthly ownership costs, be careful to also look at the median number of bedrooms.