Decades ago, a middle-class income was plenty to buy a home in Massachusetts. These days, many middle-class families can only dream of homeownership.
It’s not because younger generations don’t work as hard as previous generations or because they’re not as thrifty. It’s because the economics of homebuying have shifted away from the people who need homes the most.
The price of a typical home in the state is now six times the average household income—double the ratio economists consider healthy. In Greater Boston, it's even worse, nearing seven times income.
This growing affordability crisis is fueled by decades of underbuilding, a lack of affordable "starter homes," and rising demand driven by high-paying jobs. At the same time, income growth has not kept pace—since 1987, home prices have risen nearly 300%, while incomes have grown only about 190%.
To afford a typical home today, a household needs to earn around $217,000 annually. This has effectively shut working- and middle-class families out of homeownership, once a key path to building generational wealth. Experts warn that unless housing policy changes, more families will be forced to rent indefinitely or leave the state altogether.
Essex County Habitat for Humanity is doing our part to combat this issue with 12 affordable homes currently under construction and 14 more in the pipeline. Since our founding in 1985, we’ve completed 129 affordable homes for hardworking low- to moderate-income families.
source: https://www.bostonglobe.com/2025/06/16/business/housing-costs-chart-price-income/
