The house price-to-income ratio in the United States has reached concerning levels, with the index hitting ***** in the second quarter of 2025. This indicates that house prices have outpaced income growth by *****percent since 2015, highlighting a growing affordability crisis in the housing market. The widening gap between home prices and wages is putting homeownership out of reach for many Americans, particularly as real wages have remained stagnant. Rising home prices and stagnant wages While average annual real wages in the United States have increased slightly since 2014, home prices have soared. The median sales price of existing single-family homes reached a record-high in 2024, representing a substantial increase over the past five years. This disparity between wage growth and home price appreciation has led to a significant decrease in housing affordability across the country. Affordability challenges in the U.S. housing market The U.S. Housing Affordability Index, which measures whether a family earning the median income can afford a median-priced home, plummeted in 2024, marking the second-worst year for homebuyers since records began. This decline in affordability is reflected in homebuyer sentiment, with homebuyer sentiment plummeting.

Portugal, Canada, and the United States were the countries with the highest house price to income ratio in 2024. In all three countries, the index exceeded 130 index points, while the average for all OECD countries stood at 116.2 index points. The index measures the development of housing affordability and is calculated by dividing nominal house price by nominal disposable income per head, with 2015 set as a base year when the index amounted to 100. An index value of 120, for example, would mean that house price growth has outpaced income growth by 20 percent since 2015. How have house prices worldwide changed since the COVID-19 pandemic? House prices started to rise gradually after the global financial crisis (2007–2008), but this trend accelerated with the pandemic. The countries with advanced economies, which usually have mature housing markets, experienced stronger growth than countries with emerging economies. Real house price growth (accounting for inflation) peaked in 2022 and has since lost some of the gain. Although, many countries experienced a decline in house prices, the global house price index shows that property prices in 2023 were still substantially higher than before COVID-19. Renting vs. buying In the past, house prices have grown faster than rents. However, the home affordability has been declining notably, with a direct impact on rental prices. As people struggle to buy a property of their own, they often turn to rental accommodation. This has resulted in a growing demand for rental apartments and soaring rental prices.

Affordability ratios calculated by dividing house prices by gross annual residence-based earnings. Based on the median and lower quartiles of both house prices and earnings in England and Wales.

The house price to income ratio in Canada peaked in the second quarter of 2022, followed by a decline until the second quarter of 2025. The ratio measures the development of housing affordability and is calculated by dividing nominal house price by nominal disposable income per head, with 2015 set as a base year when the index amounted to 100. Canada's index score in the second quarter of 2025 amounted to *****, which means that house price growth has outpaced income growth by almost **** percent since 2015. Canadian home prices continue to grow House prices in Canada have steadily increased over the past decade, despite a very mild decline in 2023. This trend is forecast to continue until 2026, albeit at a lower rate than in the period between 2019 and 2022. In British Columbia, which has consistently been the most expensive province for housing, the average house price is expected to reach nearly *** million Canadian dollars in 2026. The rising homeownership costs have also affected rents. In 2024, the average two-bedroom apartment rent in Vancouver exceeded ***** Canadian dollars. Canadian incomes on the rise Incomes in Canada have steadily risen since 2000 and show no signs of slowing down in the near future. This should improve housing affordability, as long as home price growth slows down.

The house price to income ratio in Germany stood at ***** points in the second quarter of 2025. This is higher than the observation from the second quarter one year earlier, when the ratio had been ***** points.

Affordability ratios calculated by dividing house prices by gross annual workplace-based earnings. Based on the median and lower quartiles of both house prices and earnings in England and Wales.

The house price to income ratio in France amounted to ***** points in the first quarter of 2025. This is lower than the observation from the first quarter one year earlier, when the ratio had been ***** points.

New Zealand NZ: Price to Income Ratio: sa data was reported at 105.825 2015=100 in Mar 2025. This records a decrease from the previous number of 107.289 2015=100 for Dec 2024. New Zealand NZ: Price to Income Ratio: sa data is updated quarterly, averaging 88.910 2015=100 from Mar 1986 (Median) to Mar 2025, with 157 observations. The data reached an all-time high of 142.895 2015=100 in Dec 2021 and a record low of 46.819 2015=100 in Mar 1987. New Zealand NZ: Price to Income Ratio: sa data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s New Zealand – Table NZ.OECD.AHPI: House Price Index: Seasonally Adjusted: OECD Member: Quarterly. Nominal house prices divided by nominal disposable income per head. Net household disposable income is used. The population data come from the OECD national accounts database.

The house price to income ratio in Japan amounted to ****** points in the first quarter of 2025. This is higher than the observation from the first quarter one year earlier, when the ratio had been ****** points.

New Zealand has one of the highest house price-to-income ratios in the world; nonetheless, since the first quarter of 2022, the country's house price-to-income ratio started to trend downward. In the first quarter of 2025, the ratio was *****, a decrease from the same quarter of the previous year. This ratio was calculated by dividing nominal house prices by nominal disposable income per head, and is considered a measure of affordability. Homeownership dream New Zealand has been in what is widely considered a housing bubble. The disproportionately large increases in residential house prices have placed the dream of owning their own home out of reach for many in the country. In 2025, around ** percent of residential properties were sold for over a million New Zealand dollars. The majority of mortgage lending in the country went to owner-occupiers where the property was not their first home, with first-home buyers often struggling to secure a loan. In general, only New Zealand residents and citizens can buy homes in the country to live in, with new regulations tightening investment activity in that market. Rent affordability Due to New Zealand's high property prices, many individuals and families are stuck renting for prolonged periods. However, with rent prices increasing across the country and the share of monthly income spent on rent trending upwards in tandem with a highly competitive rental market, renting is becoming a less appealing prospect for many. The Auckland and Bay of Plenty regions had the highest weekly rent prices across the country as of December 2024, with the Southland region recording the lowest rent prices per week.

According to Cognitive Market Research, the global Residential Real Estate market size was USD 32651.6 million in 2024. It will expand at a compound annual growth rate (CAGR) of 5.50% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 13060.64 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.7% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 9795.48 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 7509.87 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.5% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 1632.58 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.9% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 653.03 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.2% from 2024 to 2031.
The single-family homes category is the fastest growing segment of the Residential Real Estate industry

Market Dynamics of Residential Real Estate Market

Key Drivers for Residential Real Estate Market

Increasing population drives housing demand to Boost Market Growth

Increasing population drives housing demand by creating a need for more residential spaces to accommodate growing numbers of people. As population rises, particularly in urban and suburban areas, demand for housing expands, fueling the residential real estate market. This is especially evident in countries experiencing rapid urbanization, where people move to cities seeking better job opportunities, education, and lifestyle options, further increasing housing needs. Additionally, population growth often correlates with the formation of new households, such as young families or individuals moving out on their own, intensifying the demand for housing units. In response, developers and investors are motivated to build more residential properties, ranging from single-family homes to multifamily units, contributing to market growth and driving real estate values upward. For instance, The Ashwin Sheth Group aims to broaden its residential and commercial offerings in the Mumbai Metropolitan Region (MMR) of India.

Rising incomes and economic stability to Drive Market Growth

Rising incomes and economic stability drive the residential real estate market by boosting consumers’ purchasing power and confidence in long-term investments like homeownership. As incomes increase, people can afford larger down payments, qualify for higher loan amounts, and manage mortgage payments more comfortably, making home buying a more viable option. Economic stability, characterized by low unemployment rates and steady GDP growth, reinforces this confidence, as individuals feel secure in their financial situations. With greater disposable income, many consumers seek to upgrade to larger homes, buy second properties, or invest in luxury real estate, further fueling demand. This economic backdrop attracts both local and foreign investors, leading to more housing developments, increased property values, and a flourishing residential real estate market.

Restraint Factor for the Residential Real Estate Market

High Property Prices will Limit Market Growth

High property prices restrain the residential real estate market by making homeownership unaffordable for a significant portion of the population. As prices rise, potential buyers, particularly first-time homeowners and low- to middle-income families, may find it challenging to secure adequate financing or meet the necessary down payment requirements. This affordability crisis limits the pool of qualified buyers, leading to slower sales and potential stagnation in market growth. Additionally, high property prices can prompt increased demand for rental properties, shifting focus away from home purchases. In markets where prices escalate rapidly, even affluent buyers may hesitate, fearing potential market corrections. Consequently, elevated property values can create a barrier to entry, ultimately restricting the overall health and vibrancy of the residential real estate market.

Impact of Covid-19 on the Residential Real Estate Market

The COVI...

Graph and download economic data for Real Residential Property Prices for United States (QUSR628BIS) from Q1 1970 to Q2 2025 about residential, HPI, housing, real, price index, indexes, price, and USA.

India's residential house prices - quarterly and annual changes in house prices across cities, expert analysis and comparison with global peers.

This map shows median age in the US by country, state, county, tract, and congressional district for 2023. ArcGIS Online account required for use.The pop-up is configured to show median age, median age by sex, child age (under 18) population, senior age (over 65) population, the age dependency ratio, and population by 5 year age increments. Blending is used at the Tract level to highlight areas of human settlement. Congressional district is turned off by default and can be enabled in the Layers pane.Esri 2023 Age Dependency Ratio is the estimated ratio of the child population (Age 0-17) and senior population (Age 65+) to the working-age population (Age 18-64) in the geographic area. This ratio is then multiplied by 100. Higher ratios denote that a greater burden is carried by working-age people. Lower ratios mean more people are working who can support the dependent population. Read more. See Updated Demographics for more information on Esri Demographic variables.Esri Updated Demographics represent the suite of annually updated U.S. demographic data that provides current-year and five-year forecasts for more than two thousand demographic and socioeconomic characteristics, a subset of which is included in this layer. Included are a host of tables covering key characteristics of the population, households, housing, age, race, income, and much more. Esri's Updated Demographics data consists of point estimates, representing July 1 of the current and forecast years.Get started with U.S. Updated DemographicsHow to use and interpret U.S. Updated DemographicsEsri Updated Demographics DocumentationMethodologyEssential Esri Demographics vocabularyThis ready-to-use layer can be used within ArcGIS Pro, ArcGIS Online, its configurable apps, dashboards, Story Maps, custom apps, and mobile apps. This layer requires an ArcGIS Online subscription and does not consume credits. Please cite Esri when using this data. For information about purchasing additional Esri's Updated Demographics data, contact datasales@esri.com. Feedback: we would like to hear from you while this layer is in beta release. If you have any feedback regarding this item or Esri Demographics, please use this survey. Fields available:GEOIDNameState NameState Abbreviation2023 Total Population (Esri)2023 Household Population (Esri)2023 Group Quarters Population (Esri)2023 Population Density (Pop per Square Mile) (Esri)2023 Total Households (Esri)2023 Average Household Size (Esri)2023 Total Housing Units (Esri)2023 Owner Occupied Housing Units (Esri)2023 Renter Occupied Housing Units (Esri)2023 Vacant Housing Units (Esri)2020-2023 Population: Compound Annual Growth Rate (Esri)2020-2023 Households: Compound Annual Growth Rate (Esri)2023 Housing Affordability Index (Esri)2023 Percent of Income for Mortgage (Esri)2023 Wealth Index (Esri)2023 Socioeconomic Status Index (Esri)2023 Generation Alpha Population (Born 2017 or Later) (Esri)2023 Generation Z Population (Born 1999 to 2016) (Esri)2023 Millennial Population (Born 1981 to 1998) (Esri)2023 Generation X Population (Born 1965 to 1980) (Esri)2023 Baby Boomer Population (Born 1946 to 1964) (Esri)2023 Silent & Greatest Generations Population (Born 1945/Earlier) (Esri)2023 Population by Generation Base (Esri)2023 Child Population (Age <18) (Esri)2023 Working-Age Population (Age 18-64) (Esri)2023 Senior Population (Age 65+) (Esri)2023 Child Dependency Ratio (Esri)2023 Age Dependency Ratio (Esri)2023 Senior Dependency Ratio (Esri)2023 Total Population Age 0-4 (Esri)2023 Total Population Age 5-9 (Esri)2023 Total Population Age 10-14 (Esri)2023 Total Population Age 15-19 (Esri)2023 Total Population Age 20-24 (Esri)2023 Total Population Age 25-29 (Esri)2023 Total Population Age 30-34 (Esri)2023 Total Population Age 35-39 (Esri)2023 Total Population Age 40-44 (Esri)2023 Total Population Age 45-49 (Esri)2023 Total Population Age 50-54 (Esri)2023 Total Population Age 55-59 (Esri)2023 Total Population Age 60-64 (Esri)2023 Total Population Age 65-69 (Esri)2023 Total Population Age 70-74 (Esri)2023 Total Population Age 75-79 (Esri)2023 Total Population Age 80-84 (Esri)2023 Total Population Age 85+ (Esri)2023 Median Age (Esri)2023 Male Population (Esri)2023 Median Male Age (Esri)2023 Female Population (Esri)2023 Median Female Age (Esri)2023 Total Population by Five-Year Age Base (Esri)2023 Total Daytime Population (Esri)2023 Daytime Population: Workers (Esri)2023 Daytime Population: Residents (Esri)2023 Daytime Population Density (Pop per Square Mile) (Esri)2023 Civilian Population Age 16+ in Labor Force (Esri)2023 Employed Civilian Population Age 16+ (Esri)2023 Unemployed Population Age 16+ (Esri)2023 Unemployment Rate (Esri)2023 Civilian Population 16-24 in Labor Force (Esri)2023 Employed Civilian Population Age 16-24 (Esri)2023 Unemployed Population Age 16-24 (Esri)2023 Unemployment Rate: Population Age 16-24 (Esri)2023 Civilian Population 25-54 in Labor Force (Esri)2023 Employed Civilian Population Age 25-54 (Esri)2023 Unemployed Population Age 25-54 (Esri)2023 Unemployment Rate: Population Age 25-54 (Esri)2023 Civilian Population 55-64 in Labor Force (Esri)2023 Employed Civilian Population Age 55-64 (Esri)2023 Unemployed Population Age 55-64 (Esri)2023 Unemployment Rate: Population Age 55-64 (Esri)2023 Civilian Population 65+ in Labor Force (Esri)2023 Employed Civilian Population Age 65+ (Esri)2023 Unemployed Population Age 65+ (Esri)2023 Unemployment Rate: Population Age 65+ (Esri)2023 Child Economic Dependency Ratio (Esri)2023 Working-Age Economic Dependency Ratio (Esri)2023 Senior Economic Dependency Ratio (Esri)2023 Economic Dependency Ratio (Esri)2023 Hispanic Population (Esri)2023 White Non-Hispanic Population (Esri)2023 Black/African American Non-Hispanic Population (Esri)2023 American Indian/Alaska Native Non-Hispanic Population (Esri)2023 Asian Non-Hispanic Population (Esri)2023 Pacific Islander Non-Hispanic Population (Esri)2023 Other Race Non-Hispanic Population (Esri)2023 Multiple Races Non-Hispanic Population (Esri)2023 Diversity Index (Esri)2023 Population by Race Base (Esri)2023 Population Age 25+: Less than 9th Grade (Esri)2023 Population Age 25+: 9-12th Grade/No Diploma (Esri)2023 Population Age 25+: High School Diploma (Esri)2023 Population Age 25+: GED/Alternative Credential (Esri)2023 Population Age 25+: Some College/No Degree (Esri)2023 Population Age 25+: Associate's Degree (Esri)2023 Population Age 25+: Bachelor's Degree (Esri)2023 Population Age 25+: Graduate/Professional Degree (Esri)2023 Educational Attainment Base (Pop 25+)(Esri)2023 Household Income less than $15,000 (Esri)2023 Household Income $15,000-$24,999 (Esri)2023 Household Income $25,000-$34,999 (Esri)2023 Household Income $35,000-$49,999 (Esri)2023 Household Income $50,000-$74,999 (Esri)2023 Household Income $75,000-$99,999 (Esri)2023 Household Income $100,000-$149,999 (Esri)2023 Household Income $150,000-$199,999 (Esri)2023 Household Income $200,000 or greater (Esri)2023 Median Household Income (Esri)2023 Average Household Income (Esri)2023 Per Capita Income (Esri)2023 Households by Income Base (Esri)2023 Gini Index (Esri)2023 P90-P10 Ratio of Income Inequality (Esri)2023 P90-P50 Ratio of Income Inequality (Esri)2023 P50-P10 Ratio of Income Inequality (Esri)2023 80-20 Share Ratio of Income Inequality (Esri)2023 90-40 Share Ratio of Income Inequality (Esri)2023 Households in Low Income Tier (Esri)2023 Households in Middle Income Tier (Esri)2023 Households in Upper Income Tier (Esri)2023 Disposable Income less than $15,000 (Esri)2023 Disposable Income $15,000-$24,999 (Esri)2023 Disposable Income $25,000-$34,999 (Esri)2023 Disposable Income $35,000-$49,999 (Esri)2023 Disposable Income $50,000-$74,999 (Esri)2023 Disposable Income $75,000-$99,999 (Esri)2023 Disposable Income $100,000-$149,999 (Esri)2023 Disposable Income $150,000-$199,999 (Esri)2023 Disposable Income $200,000 or greater (Esri)2023 Median Disposable Income (Esri)2023 Home Value less than $50,000 (Esri)2023 Home Value $50,000-$99,999 (Esri)2023 Home Value $100,000-$149,999 (Esri)2023 Home Value $150,000-$199,999 (Esri)2023 Home Value $200,000-$249,999 (Esri)2023 Home Value $250,000-$299,999 (Esri)2023 Home Value $300,000-$399,999 (Esri)2023 Home Value $400,000-$499,999 (Esri)2023 Home Value $500,000-$749,999 (Esri)2023 Home Value $750,000-$999,999 (Esri)2023 Home Value $1,000,000-$1,499,999 (Esri)2023 Home Value $1,500,000-$1,999,999 (Esri)2023 Home Value $2,000,000 or greater (Esri)2023 Median Home Value (Esri)2023 Average Home Value (Esri)2028 Total Population (Esri)2028 Household Population (Esri)2028 Population Density (Pop per Square Mile) (Esri)2028 Total Households (Esri)2028 Average Household Size (Esri)2023-2028 Population: Compound Annual Growth Rate (Esri)2023-2028 Households: Compound Annual Growth Rate (Esri)2023-2028 Per Capita Income: Compound Annual Growth Rate (Esri)2023-2028 Median Household Income: Compound Annual Growth Rate (Esri)2028 Diversity Index (Esri)2028 Median Household Income (Esri)2028 Average Household Income (Esri)2028 Per Capita Income (Esri)

House price index in China, June, 2025 The most recent value is 120 index points as of Q2 2025, a decline compared to the previous value of 121.64 index points. Historically, the average for China from Q2 2005 to Q2 2025 is 113.63 index points. The minimum of 75.87 index points was recorded in Q2 2005, while the maximum of 145.91 index points was reached in Q3 2021. | TheGlobalEconomy.com

Housing Index in Poland increased to 215.66 points in the second quarter of 2025 from 213.20 points in the first quarter of 2025. This dataset provides the latest reported value for - Poland Housing Index - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Graph and download economic data for Housing Affordability Index (Fixed) (FIXHAI) from Sep 2024 to Sep 2025 about fixed, housing, indexes, and USA.

Enterprise-Value-To-Ebitda-Ratio Time Series for Arbor Realty Trust. Arbor Realty Trust, Inc. invests in a diversified portfolio of structured finance assets in the multifamily, single-family rental, and commercial real estate markets in the United States. The company operates through Structured Business and Agency Business segments. It primarily invests in bridge and mezzanine loans, including junior participating interests in first mortgages, and preferred and direct equity, as well as real estate-related joint ventures, real estate-related notes, and various mortgage-related securities. In addition, the company offers bridge financing products to borrowers who seek short-term capital to be used in an acquisition of property; financing by making preferred equity investments in entities that directly or indirectly own real property; mezzanine financing in the form of loans that are subordinate to a conventional first mortgage loan and senior to the borrower's equity in a transaction; junior participation financing in the form of a junior participating interest in the senior debt; and financing products to borrowers who are looking to acquire conventional, workforce, and affordable single-family housing. Further, it underwrites, originates, sells, and services multifamily mortgage loans through conduit/commercial mortgage-backed securities programs. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was incorporated in 2003 and is headquartered in Uniondale, New York.

Average household income, debt-to-income ratios, and area median income comparisons for Gen Z home buyers.

The house price to income ratio in Italy was 86.85 points in the first quarter of 2025. This is higher than the observation from the first quarter one year earlier, when the ratio had been 86.72 points.