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Varun Attri
Varun Attri

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How We Built a Home Affordability Index for 30 US Cities

We recently built the Coinscribed Home Affordability Index — a data tool that ranks 30 major US metros by the household income you'd need to afford a median-priced home under the 28% rule.

Here's the approach:

The core math

Every figure is computed from the same amortization formula used in a standard mortgage calculator, so the study and our calculator always agree. We didn't hand-pick numbers — they're all derived from stated assumptions.

The assumptions (transparent by design)

  • 20% down payment
  • 30-year fixed mortgage
  • Property taxes and insurance layered on top
  • The 28% front-end DTI rule (housing at or below 28% of gross income)

Why transparency matters

In personal finance (a YMYL space), you can't just publish numbers — you have to show your work. So every assumption is labeled, and median home prices are marked as approximate benchmarks. Nothing is fabricated; it's all reproducible.

The takeaway

Turning "can I afford a home here?" into a single comparable income number across cities makes the affordability gap between metros strikingly clear.

Originally published on Coinscribed: https://www.coinscribed.com/home-affordability-index

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