As the late Robert Palmer crooned, housing is simply unaffordable in many cities. And most of those cities are outside the USA.
(Bloomberg) – As people around the world move into cities and look for housing, one thing is clear: Most will have a hard time paying for it.
Average monthly take-home pay won’t cover the cost of buying a 1,000-square-foot residence or renting a three-bedroom home in any of the 105 metropolitan areas ranked by the Bloomberg Global City Housing Affordability Index – based on a general rule of thumb among U. S. lenders that people should spend no more than 28 percent of net income on housing costs. Only 12 cities would be considered affordable if they spend 50 percent.
This post was published at Wall Street Examiner by Anthony B Sanders ‘ October 20, 2017.