More Than 80% of Maine Residents Priced Out of Buying a New Home

One of the key elements of the American Dream has always been to buy a home. A place to call home, build wealth and potentially pass it along to another generation.

In some states throughout the nation, the American Dream is still alive and kicking. But there's a handful of states where the thought of buying a new home seems impossible.

A new study showcased by Visual Capitalist on the percentage of residents in each state that are priced out of buying new homes puts the focus directly on two New England states. Maine and New Hampshire.

Roughly 83% of Maine and New Hampshire Residents Are Priced Out of New Homes

One of the key findings of the study was to determine the median cost of a new home in a given state and the average income needed to qualify to buy a new home.

New Hampshire leads the nation in residents who are priced out of buying new homes at 83.4%. The median new home price in New Hampshire is $677,982 while the income needed to qualify sits at more than $211,000.

Maine is third in the nation with 82.7% of residents being priced out of buying new homes. The median new home price in Maine is $548,493 while the income needed to qualify sits at more than $160,000.

What Does Being 'Priced Out' Of Buying a Home Mean?

According to Visual Capitalist, being "priced out" of being able to buy a new home is defined as total housing costs, from mortgage to insurance to taxes, exceeds 28% of a household's income.

As of this writing, there are 11 states in the nation where at least 80% of the state's residents are priced out of potentially buying a new home without putting themselves into a risky financial situation.