Looking to upsize from your cozy condo to a home of your own? While it might sound impossible, worry not. Going from a condo to a house is more than possible in 21 of the 200 largest U.S. cities, according to a new report from Point2.
Point2’s new report analyzed the median price for sold condo and house units in the 200 largest cities to determine where transitioning from a condo to a house would be easier. The report also considers the local median household income, we then calculated the price-difference-to-income ratio.
The report found that the 21 cities where houses are more affordable than condos are all core cities in their respective metro areas, and most have experienced either decreases or minimal increases in population recently.
- The biggest price difference is in Detroit, Michigan (75%), where a single-family home is $171,000 cheaper than a condo. This cost difference means one could almost buy four detached homes for the median price of one condo.
- Similarly, in Akron, Ohio, houses are 39% cheaper than condos, which translates into a $66,000 difference—the same price gap as in Cleveland, where houses are 36% cheaper than condos.
- In 17 other core cities, detached homes are $5,000 to $72,000 cheaper than condos. This includes Jersey City, New Jersey—the only outlier with a 10% spike in population. More precisely, single-family homes in Jersey City are 4% (or $22,000) cheaper than condos.
- Notably, Rochester, New York, is the only large city where detached homes and condos are up for sale for a similar median price: $183,000.
- In 10 cities, the price-difference-to-income ratio is between 0.1 and 0.4, meaning it would take less than half of the yearly income to cover the price difference between a condo and a house.
- Besides the major cities where houses are either cheaper or boast the same median price as condos, upsizing comes the easiest in Providence, Rhode Island. Given the city’s 0.05 ratio and $3,000 price gap, it takes less than a month’s salary to cover the difference between a condo and a detached home.
- Next up are Killeen, Texas; Kansas City, Kansas, and Norfolk, Virginia, with 0.1 ratios and price differences of less than $8,000.
- Fontana, California; Joliet, Illinois; Chesapeake, Virginia, and McKinney, Texas, are the only secondary cities where it would take a maximum of one year’s income to match the price difference.
The report found that overall upsizing is no easy financial feat, and in some major cities it feels more unattainable than in others. In fact, the report found that in 16 of the major cities analyzed, houses cost more than twice as much as condos, with prices 103% (Spring Valley, Nevada) to 164% higher (Honolulu, Hawaii; Pembroke Pines, Florida; Overland Park, Kansas). However, the highest price discrepancies between single-family homes and condos can be found in Bellevue, Washington (185%) and Arlington, Virginia (173%)—the only less-sunny outliers in a sea of California cities where houses sell for over $1M.
“There’s no denying that work from home has amplified homeowners’ dream for more space–but high costs and inflation are making it hard to realize,” said Alexandra Ciuntu, a creative writer for Point2 and author of the report.
For the full report, click here.