NewsThe Most Affordable Housing Markets Q4 2019 by Sylvia Shalhout December 26, 2019December 26, 2019 by Sylvia Shalhout December 26, 2019December 26, 2019Although home value growth has slowed down, many US real estate markets remain unaffordable for the average homebuyer. However, as a real estate investor, you have the option of buying a rental property out of state. Because of this advantage, it’s key to know where the most affordable housing markets are. And just in time for the winter real estate market 2020 (the best time to buy a house for investment), ATTOM Data Solutions has released its Q4 2019 US Home Affordability Report revealing the least and the most affordable housing markets in the US.Q4 2019 Real Estate Market ReportTaking a look at 486 counties in the US housing market, the report found that in 71% (344 out of 486), the median property price is still out of reach for the average US wage earner.It’s important to note that ATTOM’s Housing Affordability Index takes into consideration the following:The percentage of income required to cover monthly housing costs including monthly mortgage, property tax, and insurance payments on a median-priced houseA 3% down payment (note that for rental property investors, this would be higher- around 20% of the investment property price)A 28% debt-to-income ratio maximumData from the Bureau of Labor Statistics on annualized average weekly wagesThe report found that the cost of homeownership in the US housing market takes up 32.5% of income.Read the full report here.The 10 Least Affordable Housing MarketsThe following are the 10 least affordable US housing markets from the 486 counties analyzed in the report:Los Angeles County, CAMaricopa County (Phoenix), AZSan Diego County, CA Orange County, CA (outside Los Angeles)Miami-Dade County, FLKings County, NYDallas County, TXRiverside County, CAQueens County, NYSan Bernardino County, CAThe 10 Most Affordable Housing MarketsThe following are the 10 most affordable US housing markets from the 486 counties analyzed in the report:Cook County (Chicago) ILHarris County (Houston), TXWayne County (Detroit), MIPhiladelphia County, PACuyahoga County (Cleveland), OHFranklin County, OHOakland County, MIAllegheny County, PAMecklenburg County, NCFulton County, GAStart your search for an affordable investment property for sale now. Search for My Investment PropertyIs the US Housing Market Becoming More Affordable?While a significant percentage of the US counties analyzed remain unaffordable, real estate market trends show that affordability is very slowly but surely becoming less of an issue across the nation.In Q3 2019, it was reported that 73% of US counties were unaffordable for the average wage earner, which was down from 75% in Q4 2018. In addition to this, mortgage rates are at a low as average wages continue to increase in a healthy job market and economy. So while real estate prices are still less affordable than historic averages in 49% of US housing markets, that number has significantly declined from 72% a year ago.What’s More Important Than Affordability in Real Estate Investing? ProfitabilityAs a real estate investor, pinpointing the most affordable housing markets and finding cheap investment property for sale should not be your only concern. While the list of counties above is a good place to start your investment property search, you cannot just buy the first property that fits your budget in the cheapest neighborhood.Instead, you should look for affordable and profitable neighborhoods. You can do this easily with Mashvisor’s Real Estate Heatmap. Mashvisor’s Real Estate HeatmapSimply start by entering in a city and setting the filter for listing price. Find the areas marked in red (the most affordable). And then set the filter for cash on cash return and see which of those areas are marked in green (the most profitable). With that, you will have found the most profitable and affordable real estate markets. And you’ll have a list of investment property for sale to start analyzing. What’s more, you can even use this same strategy to find more affordable and profitable areas in some of the more expensive real estate markets listed above.Get started now.Sign up now to Mashvisor to stay updated on real estate news around the US. Start Your Investment Property Search! START FREE TRIAL Affordable MarketsHeatmap 0FacebookTwitterGoogle +PinterestLinkedin Sylvia ShalhoutSylvia is the Content Marketing Manager at Mashvisor. As a real estate writer, she has been covering topics for the beginner and advanced real estate investor, helping them make smarter decisions as well as real estate agents looking to take their business to the next level. Previous Post How to Handle Multiple Offers on a House Next Post How to Buy a Fourplex in 4 Steps Related Posts Amazon HQ2 No Longer Set to Be Built in New York City Study: The Impact of Airbnb on the Hotel Industry US Housing Supply Hits 2-Year Low & Prices Rise US Home Sales Fall Thanks to High Mortgage Rates The Amazon HQ2 Decision: How It Will Impact US Housing Markets Mansion Tax Causes NYC Real Estate Sales to Drop Average US Property Seller Profits Hits a 12-Year High in 2018 Airbnb Arizona Rentals May Face More Regulation US Home Price Predictions: Experts Weigh In Investments Reach All-Time High in US Housing Market What the Fed Interest Rate Cut Means for Investors Report: Housing Market 2019 vs 2009- How Has Your City Fared?