Six-Figure Salary Now Needed to Buy Normal Normal-Sized Home In Minnesota: Report

It now takes more than a six-figure income to afford a median-priced home in much of Minnesota, according to a new Star Tribune analysis that shows the state’s housing costs are rising far faster than wages.

The analysis reports that in the Twin Cities metro and several rural counties, buyers need to earn over $100,000 a year to afford a typical, normal-sized home.

That's taking place while Minnesota’s median household income is only about $87,000, leaving many families priced out of homeownership entirely.

The Star Tribune found that the state’s median home price rose to $400,000 for the first time this summer, marking the lowest affordability level in decades.

Twin Cities home prices have risen nearly 40 percent since 2012, while area incomes have grown just 12 percent, adjusted for inflation.

Experts say the trend is redefining what it means to be middle class in Minnesota.

"This is what coastal cities have been experiencing for many years, where buying a home was simply not affordable," said Andrew Babula, director of the real estate program at the University of St. Thomas.

Check out the full report at the Star Tribune.