Why Amarillo’s Home Prices Are A Double-Edged Sword

If you're thinking about buying a home in Amarillo, Texas, there's some good and bad news. The good news is that it isn't as expensive as other places, and the bad news is that it's still wildly expensive when compared to the average income.

Amarillo, Texas, Ranks Among 10 Lowest Home Price-to-Income Ratios

A recent look at average home prices and incomes by Construction Coverage resulted in some bittersweet takeaways. If there's anything to celebrate, it's that Amarillo ranked 10th when it comes to having the lowest home price-to-income ratio.

READ MORE: How Renting Became Better Than Buying In Amarillo, Texas

That ratio comes from looking at the median home price in a city and then looking at the median yearly income. When compared to cities of a similar size, Amarillo comes out not looking too bad.

The median home price is $196,062, while the median household income is $58,897. Where things get wild is when you look at how much the price has gone up in recent years, while the income hasn't followed suit.

Home Prices Have Skyrocketed While Household Income Fails To Keep Pace

In Amarillo, the median price of a home has gone up by 42% since 2020, according to the study. What's crazy is that it puts us in the company of the most affordable mid-sized cities in the U.S.

I suppose we should count our blessings. The median price of a home nationally has almost tripled since 2020. It might be expensive in Amarillo, but it could be a lot worse. I do know that what we paid for our house would not have gone nearly as far almost anywhere else.

Get our free mobile app

No matter how you slice it, we're all feeling the pain of making dollars stretch farther nowadays. Renting is expensive. Owning is expensive. Commune living is becoming more attractive by the day.