How Much Do You Need To Make To Buy A Home In Brooklyn?

BROOKLYN, NY — Those who want to put down roots in Brooklyn better have a salary of $212,375, according to a new report from local online real estate marketplace StreetEasy.

In the new report, StreetEasy lined up all the asking prices for the homes currently on the market in Brooklyn since July 2024 and found the middle-range asking price, called the median.

StreetEasy also found the median asking prices for the lower third of the market in Brooklyn and determined that to afford one of those apartments, buyers must have a salary of at least $95,063.

So, how did StreetEasy get these numbers?

The company determined the required income level for a buyer to keep their monthly mortgage payments under 30% of their total income. This calculation was based on an initial down payment of 20% of the home's purchase price and financing the remaining amount with a 30-year mortgage at a 6.5% interest rate, which was the prevailing average as of August 2024, the company said.

The median household income in Brooklyn is $74,692 in 2022, according to the Census Bureau, meaning that home ownership in Brooklyn, which is more than $20,000 below the median salary needed for a home in the lower third of the market.

In Brooklyn, the neighborhood with the most new homes on the market was Bed-Stuy, with 177 new listings available between May and July. StreetEasy said the median asking price in Bed-Stuy was $1,399,999.

But, a recent drop in mortgage rates in Brooklyn provided some relief — a buyer in Brooklyn today can afford a home with $1,857 less income than a buyer in the borough one year ago, StreetEasy found.

Click here for the full report.