May 25, 2018
Virginia Beach, Memphis and Indianapolis are the Most Affordable Housing Markets for Veterans, According to Redfin
Across 45 major metros, 9% of homes for sale are affordable for veterans, down from 27% in 2012

SEATTLE, May 25, 2018 /PRNewswire/ -- (NASDAQ: RDFN) -- Of the more than 600,000 homes currently listed for sale in the 45 most populous metro areas, only 8.9 percent are affordable to someone earning the local median veteran income, according to a new report by Redfin (www.redfin.com), the next-generation real estate brokerage. This is down from 27.4 percent in 2012. Every market in Redfin's analysis posted a decrease in its share of listings affordable to veterans in the last six years.  

"The affordability of VA loans is a major reason why the homeownership rate among veterans has historically been higher than for the general population. But this may be changing," said Redfin chief economist Nela Richardson. "Homeownership among active-duty military declined significantly during the housing crisis and remains at historic lows. Veteran homebuyers are battling affordability as the fast pace, high prices and low inventory in today's market make it hard to compete with all-cash buyers. U.S. housing policy should continue to ensure that the people who serve our country also have the opportunity to invest in our country through homeownership."

Virginia Beach is the most affordable metro for veterans, with 38.1 percent of homes for sale affordable, followed by Memphis (36.3%), Indianapolis (26%) and Louisville (25.3%).

"Virginia Beach is the San Diego of the East Coast with several bases representing virtually all branches of the military," said Redfin Virginia Beach agent Jordan Hammond. "For veteran homebuyers transferring to the area, Virginia Beach is the perfect location. Not only is it close to the water and the nation's capital, but it offers a much lower cost of living than California, where many are moving from."

San Jose, CA, the nation's most competitive market, is the least affordable for veterans. Unsurprisingly, many coastal markets, including Los Angeles, San Francisco, Boston and Seattle, have fewer than 2 percent of listings within the reach of veterans.

Below is a ranking of metros according to the percentage of homes affordable for veterans.

Rank

Metro Area

Share of
Homes
Affordable
for Local
Veterans

Median
Annual
Income for
Veterans

Max Home
Price
Veterans Can
Afford

Median
List Price

Percentage
Point Change in
Affordability
Since 2012

1

Virginia Beach, VA

38.1%

$49,517

$140,000

$275,000

-13.8 pts.

2

Memphis, TN

36.3%

$38,008

$90,000

$193,499

-3.7 pts.

3

Indianapolis, IN

26.0%

$37,154

$80,000

$267,068

-32 pts.

4

Louisville, KY

25.3%

$35,958

$80,000

$269,900

-31.8 pts.

5

Detroit, MI

22.3%

$37,527

$90,000

$264,900

-27.8 pts.

6

Baltimore, MD

22.1%

$49,393

$140,000

$339,000

-12.8 pts.

7

St. Louis, MO

21.8%

$38,830

$90,000

$209,900

-2.3 pts.

8

Pittsburgh, PA

19.7%

$33,437

$70,000

$189,900

-12.3 pts.

9

Washington, DC

19.6%

$73,435

$260,000

$490,000

-14.2 pts.

10

Birmingham, AL

19.2%

$36,780

$80,000

$239,900

-7 pts.

11

Richmond, VA

19.0%

$43,973

$120,000

$329,995

-37.3 pts.

12

Jacksonville, FL

16.8%

$41,412

$100,000

$309,900

-24.3 pts.

13

Philadelphia, PA

16.0%

$39,887

$100,000

$279,900

-9.3 pts.

14

Cleveland, OH

15.5%

$34,282

$70,000

$184,900

-7.1 pts.

15

San Antonio, TX

15.3%

$45,903

$130,000

$300,000

-30.2 pts.

16

Cincinnati, OH

14.6%

$37,657

$90,000

$239,539

-16.2 pts.

17

Kansas City, MO

13.3%

$40,328

$100,000

$265,000

-20.6 pts.

18

Tampa, FL

12.1%

$35,185

$70,000

$284,900

-26.8 pts.

19

Columbus, OH

12.0%

$37,760

$90,000

$269,900

-12 pts.

20

Charlotte, NC

11.9%

$37,812

$90,000

$334,900

-24.9 pts.

21

Raleigh, NC

10.4%

$44,900

$120,000

$354,579

-37.9 pts.

22

Atlanta, GA

9.3%

$41,899

$110,000

$330,000

-28.6 pts.

23

Houston, TX

7.4%

$43,691

$120,000

$330,000

-29.7 pts.

24

Dallas, TX

6.2%

$43,725

$120,000

$379,900

-29.6 pts.

25

Orlando, FL

6.1%

$35,279

$70,000

$319,000

-27.9 pts.

26

Miami, FL

5.5%

$37,108

$80,000

$385,000

-16 pts.

27

Minneapolis, MN

5.5%

$41,883

$110,000

$352,000

-27.8 pts.

28

New York, NY

4.7%

$42,653

$110,000

$549,000

-9.9 pts.

29

Las Vegas, NV

4.4%

$37,870

$90,000

$309,888

-32.3 pts.

30

New Orleans, LA

3.9%

$35,240

$70,000

$270,000

-5 pts.

31

Riverside, CA

3.9%

$39,733

$100,000

$406,398

-23 pts.

32

Nashville, TN

3.4%

$38,603

$90,000

$359,550

-28.6 pts.

33

Chicago, IL

2.8%

$40,235

$100,000

$335,000

-4.3 pts.

34

Providence, RI

2.3%

$36,941

$80,000

$359,900

-11 pts.

35

Austin, TX

2.2%

$46,206

$130,000

$375,000

-20.8 pts.

36

Boston, MA

1.4%

$42,705

$110,000

$575,000

-6.2 pts.

37

Seattle, WA

1.3%

$47,052

$130,000

$599,950

-17.7 pts.

38

Sacramento, CA

1.2%

$42,081

$110,000

$485,000

-46.8 pts.

39

Portland, OR

0.9%

$40,624

$100,000

$499,000

-12.7 pts.

40

San Diego, CA

0.7%

$46,634

$130,000

$713,995

-7.6 pts.

41

Phoenix, AZ

0.6%

$38,635

$90,000

$352,258

-6.2 pts.

42

Denver, CO

0.5%

$44,772

$120,000

$524,900

-1.8 pts.

43

San Francisco, CA

0.3%

$47,942

$140,000

$998,000

-6.5 pts.

44

Los Angeles, CA

0.2%

$41,132

$100,000

$775,000

-11.2 pts.

45

San Jose, CA

0.0%

$47,226

$130,000

$1,249,000

-1.7 pts.

To read the full report, with with a complete methodology and data set, as well as a discussion of the relatively worse housing affordability for female veterans, please visit https://www.redfin.com/blog/2018/05/virginia-beach-memphis-and-indianapolis-are-the-most-affordable-housing-markets-for-veterans.html.

About Redfin
Redfin (www.redfin.com) is the next-generation real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer's favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry's lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 80 major metro areas across the U.S. The company has closed more than $60 billion in home sales.

For more information or to contact a local Redfin real estate agent, visit www.redfin.com. To learn about housing market trends and download data, visit the Redfin Data Center. To be added to Redfin's press release distribution list, subscribe here. To view Redfin's press center, click here.

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SOURCE Redfin

Redfin Journalist Services, Rachel Musiker, 206-588-6863, press@redfin.com