How much do I need to earn to buy a house in Boston?

To afford the median Boston home ($720,000) at standard 36% DTI with 6.7% mortgage rate and 20% down, you need approximately $178,000/year. The city median household income is $85,000, creating a gap of $93,000/year.

What percentage of Boston homes are affordable on median income?

Based on FRC analysis using BLS income data and Zillow home prices (May 2026), approximately 15% of Boston homes are affordable on the median household income of $85,000/year.

FRC City Analysis · May 2026

Boston, MA
Housing Affordability

CRISIS — 15% of homes affordable

Boston's affordability crisis is underreported. High property taxes (1.07%) add $640/month to the median home payment, putting homeownership out of reach for most single-income households.

$720,000

Median Home Price

$4,659/mo

Monthly PITI (20% down)

$178,000

Income Needed (36% DTI)

$85,000

Median Household Income

+$93,000

Annual Income Gap

15%

Homes Affordable on Median

The Math

At today's 6.7% mortgage rate with 20% down, the monthly PITI on Boston's median home is $4,659. To keep housing under 36% of gross income (the back-end DTI threshold most lenders use), you need $178,000/year — 209% of the city's median income.

The local median income of $85,000 leaves a gap of $93,000/year. This means the median household needs to earn 109% more to comfortably qualify for the median home.

Affordable Alternatives

📍 Nearest affordable areas: Worcester, Lowell, Providence RI
These surrounding communities typically offer lower home prices within commuting distance.

See If You'd Qualify

These are market averages. Your situation depends on your income, debts, and credit.

🏦 Ask Zai About Boston → ← All Cities

Source: BLS OEWS 2024, Zillow ZHVI May 2026, FRC Underwriting Model. Not financial advice. Educational analysis only.

Boston, MAHousing Affordability

The Math

Affordable Alternatives

Boston, MA
Housing Affordability