These states have some of the poorest Americans – and the highest homeownership rates

When a realtor in West Virginia showed a log cabin home on a 90-acre property to a buyer from Boston, he was surprised by the $420,000 asking price. The Boston buyer suggested marking up the price by $300,000. While the low listing price may be unexpected for someone used to high real estate prices in Boston, it is common in West Virginia. Despite its low personal income levels, West Virginia has the highest homeownership rate in the country. Other states with high homeownership rates tend to have lower income levels. The cost of real estate is influenced by demographics, competition, and zoning regulations. Big cities, like New York and San Francisco, have lower homeownership rates due to factors like a younger, mobile population and higher housing prices. Land scarcity and strict zoning laws in cities also drive up housing costs. In response to the housing shortage, some local and state governments are reconsidering zoning laws and finding alternative ways to create more affordable housing. The US is facing a home affordability crisis, with home prices rising faster than household income. This trend is impacting West Virginia, where home prices are also increasing, making it more challenging for buyers.