T
he Atlanta metro area's housing affordability trend has reversed, with the share of income needed to buy a home decreasing last year. For households earning the median income of $93,843, the share of income required for monthly mortgage payments dropped to 34.7 percent from 35.3 percent in 2023. This improvement is attributed to wage growth outpacing increases in housing costs, with home prices also falling.

    However, buying a home remains challenging due to high prices and limited inventory. The median home price has risen 60 percent since 2019, and interest rates continue to push buyers to their financial limits. Atlanta's housing market faces significant challenges, including an estimated deficit of up to 100,000 homes in the area.

    While wage growth has improved affordability metrics slightly, many Americans are still priced out of homeownership. Mortgage rates also play a role, with the weekly average rate standing at 6.91 percent over the last 12 months, compared to under 4 percent in 2019. Experts warn that prices are expected to rise this year due to a lack of homes for sale, making it even more difficult for would-be homebuyers to afford a home.