New data from ATTOM reveals that Kings County (Brooklyn) now tops the national homeownership cost list at 108.6% of the average local paycheck. That means the typical Brooklyn household would need to spend more than their entire gross income just to cover mortgage payments, property taxes, and homeowner insurance at current prices and rates.
What Does 108% of a Paycheck Mean?
The ATTOM affordability index measures total homeownership costs against average local wages. When the number exceeds 100%, it means the average worker in that county literally cannot afford the average home. At 108.6%, Brooklyn is not just unaffordable. It is mathematically impossible for the typical wage earner to buy a home there without significant savings, family help, a co-buyer, or a second income.
To put this in real numbers: the median home price in Brooklyn has been above $800,000 for several quarters. At a 6.5% mortgage rate with 10% down, that translates to a monthly payment of roughly $4,550 before property taxes and insurance. Add those in and you are looking at over $5,500 per month. The average Brooklyn household income does not support that payment under the standard 30% affordability threshold.
How Does Staten Island Compare?
Staten Island is more affordable than Brooklyn on paper, but the gap is closing. The median home price on Staten Island has been climbing steadily, and the borough’s property tax burden is among the highest effective rates in the city. When you factor in property taxes, insurance, and current mortgage rates, Staten Island homeownership costs have been rising faster than local wage growth for three consecutive years.
The advantage Staten Island still has is inventory diversity. There are more single-family homes, two-family homes, and properties with development potential on Staten Island than in any other borough. That creates more entry points for buyers at different price levels, which is why first-time buyers who have been priced out of Brooklyn are increasingly looking at Staten Island neighborhoods like Tottenville, Great Kills, and New Dorp.
Why Are Costs Outpacing Incomes?
Three factors are driving the affordability squeeze simultaneously. First, home prices have remained elevated despite higher interest rates because inventory is so limited. New York City is chronically undersupplied, and new construction has not kept pace with demand for years. Second, mortgage rates in the mid-6% range have roughly doubled monthly payments compared to the sub-3% rates available in 2021. Third, property taxes and insurance costs have both increased, adding hundreds of dollars per month to the total cost of ownership.
The result is that even households earning well above the median income are feeling squeezed. A family earning $150,000 per year, which puts them above the citywide median, still faces a tight budget when buying a median-priced home in Brooklyn or an above-median home on Staten Island.
What Should Buyers and Homeowners Do?
If you are looking to buy, the data does not mean you should give up. It means you need a strategy. Working with an agent who understands the local market at a granular level, who knows which neighborhoods still offer value, which buildings have low maintenance costs, and which blocks are seeing price appreciation versus stagnation, is the difference between overpaying and making a smart investment.
First-time buyer programs like the city’s proposed $100,000 down payment assistance, SONYMA loans, and HomeFirst grants can meaningfully change the math for qualified buyers. Making sure you are positioned to take advantage of these programs when they become available is critical.
If you already own a home on Staten Island or in Brooklyn, this data is actually good news for your equity position. Prices are high because demand is relentless and supply is constrained. Your home is one of the most valuable assets in one of the most competitive markets in the country. Making sure you are not overpaying on property taxes by claiming every exemption available to you (STAR, Enhanced STAR, veteran exemptions, co-op abatements) protects your margins.
Watch the Full Episode
Joseph Ranola breaks down the ATTOM data in today’s Daily Tesla News, including the borough-by-borough affordability rankings, where gas prices fit into the cost picture, and what this all means for buyers trying to get into the market right now. Watch on YouTube or browse all episodes at ranolarealestate.com/daily-tesla-news.
About Joseph Ranola
Joseph Ranola is a licensed real estate agent with The Bridge and Boro Team at Real Broker, helping buyers, sellers, and investors across Staten Island and Brooklyn. With over 70+ five-star Google reviews, Joseph has earned a reputation as the agent who tells you what is actually happening in the market, not what you want to hear. His Daily Tesla News series has become a trusted daily resource for New Yorkers who want to stay informed about the policies, numbers, and trends that directly affect their homes and wallets.
Want to know what your home is worth or what you can afford in today’s market? Contact Joseph or call (917) 905-2541.
