New York is home to some of the most expensive housing in the nation. However, Buffalo challenged the state's reputation and posted positive numbers for affordability.
Chicago, IL (PRWEB) May 13, 2014
The Federal Savings Bank knows that affordability is a big concern for many first-time home buyers. As rookies to the real estate market, they often lack the capital held by veteran buyers who are looking for more expensive properties. Given that affordability is such a major consideration, first-time buyers can benefit from a recent ranking by Forbes, which listed the most affordable cities to live in on March 11th.
The ranking focused on the 100 largest metro areas in the country, all of which had populations of at least 600,000 residents. Affordability was calculated using data from the Housing Opportunity Index from the National Association of Home Builders and Wells Fargo as well as the Sperling's Best Places cost-of-living index. Typical expenses such as utilities, gas, food, transportation, medical and other miscellaneous costs are considered by the Sperling index. Forbes noted that cities with a Sperling index above 100 have higher costs for these day-to-day expenses than the national average.
Here are the top 10 most affordable cities:
Buffalo, New York
Grand Rapids, Michigan
Oklahoma City, Oklahoma
Spotlight on Buffalo
New York is home to some of the most expensive housing in the nation. However, Buffalo challenged the state's reputation and posted positive numbers for affordability. With a population of 1.1 million, the city had an 88.5 housing opportunity index score - meaning a new home purchase is an attainable goal for 88.5 percent of the population - and a 96.1 cost-of-living index score. Median family income sits at $63,500, and the median home sales price is $100,000.
After taking note of the rankings, the Buffalo Bills, a National Football League team, even reported that it has some of the most affordable ticket prices, at $57.75 on average. This can be a perk when weighing entertainment benefits of a certain location.
Residential real estate in the city is showing growth amid industrial and commercial real estate gains. Buffalo was once a vital industrial hub, but the grain milling, transportation and steel businesses all declined, leading to a noticeable population decrease over the last century. However, local groups are working hard to encourage companies to migrate to or open locations in Buffalo.
"When we bring in prospects from outside the region, people are not only surprised at commercial and industrial real estate, but also residential real estate as well," Paul Pfeiffer, director of investor and public relations at Buffalo-Niagara Enterprise, told Forbes.
For information about financing a new home purchase, contact the Federal Savings Bank, a veteran owned bank.