An annual study by the Joint Center for Housing Studies at Harvard University, The State of the Nation's Housing 2017, determined how much it costs to own a home in different U.S cities. The report calculated the average monthly cost of a median-priced single-family home, assuming property taxes of 1.25 percent, property insurance of 0.25 percent, mortgage insurance of 0.5 percent and a five percent down payment.
CNBC rounded up the findings into a list of prices for 15 U.S. cities, including the fast-growing areas of Denver, Houston, and Dallas. The cities listed span the country’s geography and show the variety in housing prices between areas: the median monthly payment in Dallas is $1,260, while the median in San Jose is $5,790.
Financial planners suggest that homeowners should not spend more than 28 percent of their gross income on housing each month. In addition to mortgage, housing costs include the interest, property taxes, and insurance on the home. Based on the prices in the housing report, home buyers can quickly determine which cities they can comfortably afford to live in.
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