High mortgage rates and rising home prices have put the dream of homeownership out of reach for many Americans, so it may come as a surprise that some of the nation’s poorest states have more homeowners than their wealthier counterparts.
According to U.S. Census data, West Virginia leads all states with a homeownership rate of 77 percent, followed closely by Delaware (75.7 percent), Mississippi (75.5 percent), Maine (75.5 percent) and Wyoming (74.5 percent).
Despite high ownership rates, these states almost always have significantly lower median incomes than the rest of the country.
With the exception of Wyoming (ranked 8th), Mississippi and West Virginia have the 1st and 2nd lowest median incomes in the nation, respectively. Delaware ranks 24th and Maine 30th for average personal income.
Other low-income states with high ownership rankings include Alabama (9th for ownership, 48th for income), South Carolina (12th for ownership, 44th for income), Idaho (15th for ownership, 40th for income), and New Mexico (18th for ownership, 45th for income).
“There are a few factors at play here,” says economist Hannah Jones of Realtor.com®. “States with lower median-income levels also tend to have lower home prices relative to incomes.”
The states with the lowest homeownership rates include some of the highest-income states in the country: New York (6th in income, 50th in ownership), California (4th in income, 49th in ownership), Nevada (25th in income, 48th in ownership), Hawaii (26th in income, 47th in ownership), and Massachusetts (1st in income, 46th in ownership).
“California, New York and Massachusetts are among the highest-income states in the U.S., but buyers also see some of the highest home prices relative to their income levels,” Jones said.
Home prices in these three states range from 8.8 to 9.8 times the typical income level (using median listing prices as of June 2024), compared to just 4.8 times in West Virginia.
“States with large metropolitan areas like New York City and Boston also have lower homeownership rates due to the large renter populations in those densely populated metropolitan areas,” Jones says.
Here’s a closer look at the five states with the highest (and lowest) rates of homeownership across the United States.
West Virginia
Homeownership rate: 77.0%
Average personal income: $52,585
Delaware
Homeownership rate: 75.7%
Average personal income: $65,392
Mississippi
Homeownership rate: 75.5%
Average personal income: $48,110
Maine
Homeownership rate: 75.5%
Average personal income: $63,117
Wyoming
Homeownership rate: 74.5%
Average personal income: $77,837
new york
Homeownership rate: 53.3%
Median personal income: $79,581
California
Homeownership rate: 55.8%
Average personal income: $80,423
Nevada
Homeownership rate: 61.2%
Median personal income: $65,168
Hawaii
Homeownership rate: 61.8%
Average personal income: $68,151
Massachusetts
Homeownership rate: 61.9%
Average personal income: $87,812
