The housing downturn hasn't made homes much more affordable for many workers in the Baltimore metro area, a new report suggests. The nonprofit Center for Housing Policy said today that the price of a typical local home last summer was just under $270,000, too expensive for a nurse, an elementary school teacher, a police officer or a retail sales employee. The 2 percent decline in the median price of new and existing homes from a year earlier was far too small to close the gap.
A buyer with a 10 percent down payment would need to earn nearly $90,000 to avoid spending more of his or her salary on housing-related costs than experts recommend, the Washington-based group said.
A typical local elementary school teacher and police officer each earn nearly $50,000, which means they'd need a spouse with similar earning power to make the numbers work. Two licensed practical nurses would fall short, while retail sales pays so comparatively little that four employees would need to team up to afford the typical home, according to Center for Housing Policy numbers.
That leaves renting as the alternative. But at nearly $800 a month, even the typical one-bedroom is too pricey for a retail worker in the Baltimore area, the center said.
Hoping to improve the problem, the group this morning launched HousingPolicy.org, a Web site with information and suggestions for state and local governments to improve housing affordability.
Source: Baltimore Sun