The National Association of REALTORS® reported that home price growth remained strong for the first quarter of 2022. Prices continued to rise, with 70% of the markets showing double-digit home price appreciation. National median prices rose 15.7% year-over-year to $368,200.

Monthly mortgage payments on a single-family home this quarter increased to $1,383 compared to $1,064 a year ago. Qualifying median family incomes rose to $66,365 compared to the fourth quarter of 2021 which was $59,371 and $51,055 a year ago. The effective 30-year fixed mortgage rate increased to 3.86% in the first quarter of 2021 compared to 2.93% one year ago.

Knowing the mortgage rates and the qualifying incomes for downpayments will help potential homeowners figure out what metro areas are affordable for them. Here is a look at the metro areas with the strongest price growth in the first quarter of 2022, as well as a look at the yearly change in median existing single-family home prices among the top five highest and lowest growth metro areas of the first quarter of 2022.

The top five single-family metro areas with the highest home price appreciation were Punta Gorda, FL (34.4%); Ocala, FL (33.8%); Ogden-Clearfield, UT (30.8%); Lakeland-Winter Haven, FL (30.1%); and Decatur, AL (28.9%).

Bar graph: Top five single-family metro areas with the highest home price appreciation in Q1 2022

The bottom five single-family metro areas with the slowest home price appreciation were Bridgeport-Stamford-Norwalk, CT (1.2%); Bismarck, ND (0.0%); Rockford, IL (-1.0%); Topeka, KS (-1.9%); and Cape Girardeau, MO-IL (-2.0%).

Bar graph: The bottom five single-family metro areas with the lowest price appreciation in Q1 2022

The most expensive metro areas for the first quarter of 2022 were San Jose-Sunnyvale-Santa Clara, CA ($1,875,000); San Francisco-Oakland-Hayward, CA ($1,380,000); Anaheim-Santa Ana-Irvine, CA ($1,260,000); Urban Honolulu, HI ($1,128,000); and San Diego-Carlsbad, CA ($905,000)

Bar graph: The five most expensive metro areas in Q1 2022

The least expensive metro areas for the first quarter of 2022 were Binghamton, NY ($137,000); Youngstown-Warren-Boardman, OH-PA ($132,000); Cumberland, MD-WV ($129,000); Peoria, IL ($127,000); and Decatur, IL ($107,000).

Bar graph: The five least expensive metro areas in Q1 2022

Qualifying Income Based on Sales Price of Existing Single-family Homes for Metropolitan Areas by Region

For the US, at the 5% down payment threshold, the qualifying income amount for the first quarter of 2022 was $78,808. At the 10% down payment mark, the qualifying income was $74,661, and with a 20% down payment, the income required to qualify for a mortgage was $66,365. The West led all regions with the highest qualifying income while the Midwest had the lowest income for 5%, 10%, and 20% down payments on a single-family home.

Bar graph: U.S. and Regional Qualifying Income Based on Existing Single-family Sales Price, Q1 2022

Notice: The information on this page may not be current. The archive is a collection of content previously published on one or more NAR web properties. Archive pages are not updated and may no longer be accurate. Users must independently verify the accuracy and currency of the information found here. The National Association of REALTORS® disclaims all liability for any loss or injury resulting from the use of the information or data found on this page.