When it comes to the kind of house you can afford — or whether you can afford one at all — arguably the biggest factor is how much you earn. The people at Zoocasa wanted to know which professions have the most homebuying power, so they used Bureau of Labor Statistics data and a house affordability calculator to work out the spending ceiling people in different jobs could afford while purchasing a home.
The study assumed a 20 percent down payment and a 30-year mortgage, at a rate of 6.87 percent. Taxes, insurance and other expenses and fees were not included in the calculations.
According to the study, there are nine occupations where workers could afford million-dollar properties:
- Cardiologist ($1,880,123)
- Radiologist ($1,572,330)
- Surgeon ($1,549,808)
- Dermatologist ($1,523,022)
- Anesthesiologist ($1,507,963)
- Obstetrician and gynecologist ($1,237,839)
- Neurologist ($1,205,900)
- Physician ($1,172,007)
- Orthodontist ($1,082,187)
Of the 125 jobs analyzed in the study, 69 do not pay enough to afford a home at the national median price of $389,400. Hairdressers, security guards and customer service representatives, whose mean earnings all fall under $50,000 a year, cannot afford to buy houses priced at more than $200,000.
Via Zoocasa.
[Image credit: Zoopla]