At the end of 2018, real estate giant Zillow assessed home values across the country and determined the most expensive zip codes. What they discovered gives hints as to why people are leaving certain areas and flocking to others.
Take California, for example. The state of California dominates the list of the Top 20 ZIP codes with the highest median home value with 15 zip codes. The Bay Area suburb neighborhood of Atherton tops the list with a median home value of $6.8 million. That number is about $2 million more than the next most expensive zip code, 90210 in Beverly Hills.
Not surprisingly, the zip code in North Carolina with the highest median home value is right here in Charlotte. The zip, 28207, is affluent and falls just barely shy of the $1 million mark. Homes in this zip code average $905,900.
What You Need to Earn
After this data was released, the a Business Journal analyzed the numbers in order to determine what the minimum required salary would be to land one of these homes. In the previously aforementioned town of Atherton, it was determined that residents would need to earn $1.3 million a year. Interestingly enough, it was the only town on the list requiring at least a million dollar salary.
This analysis was determined by plugging three bits of info into a hypothetical situation. They included:
- A 10% down payment applied towards the area’s median home value;
- factoring in most common mortgage rates on loans;
- and, a monthly mortgage payment of no more than 30% of the hypothetical income.
What does this mean? It means in Atherton, California, you’re looking at an average monthly mortgage payment of $32,914. On the flip side, even living in the most affluent zip code in Charlotte will only cost you roughly $4,000 a month. The study determined that to afford a home in the 28207 zip code of Myers Park and Eastover, buyers should average an annual income of around $175,000.
To see the full list of the most expensive zip code in each state, visit the Charlotte Business Journal.
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