Paychecks are outpacing home prices in these counties, providing a “welcome shift” for families

Home prices have risen faster than wages across the country, but that trend has not been uniform across the country.

Since the first quarter of 2024, the national median home price has increased 8% from $333,438 to $360,000. the latest data by ATOMa provider of real estate data and real estate analyses.

But actually wages surpassed domestic growth in many provinces, ATTOM reports.

“It’s a welcome shift that wages in these markets are rising faster than home prices,” he says Jiayi Xueconomist at Realtor.com®. “While the affordability gap remains a challenge, this trend is a powerful tool for potential buyers.”

Between the first quarter of 2025 and the first quarter of 2026, typical wages rose faster than home prices in 64% (374) of the 580 counties in ATTOM’s analysis.

But the most populous provinces where wages surpassed home prices were Los Angeles County; Cook County, Illinois; Harris County, Texas; Maricopa County, AZ; and San Diego County.

“In these five provinces, top universities act as ‘talent magnets’ that fuel high-wage industries such as biotechnology, aerospace and finance,” says Xu.

“By offering a steady stream of highly skilled graduates, schools like UCLA and USC (Los Angeles), the University of Chicago and Northwestern (Cook), Rice and the University of Houston (Harris), ASU (Maricopa) and UC San Diego (San Diego) attract global companies that cluster nearby to leverage specialized research and a ‘knowledge-ready’ workforce.”

Xu says this influx of high-earning professionals isn’t just boosting the technology and medical sectors. “It is also driving huge demand for roles across the economy, making these regions among the most dynamic and competitive labor markets in the country,” she adds.

According to the report, average weekly wages increased by 6.4% BuReau of Labor Statistics‘ latest data, which runs through the third quarter of 2025.

Higher salaries act as an “accelerator” for down payment savings, allowing people to acquire homeownership more quickly, Xu explains.

“More importantly, higher income provides essential debt-to-income (DTI) flexibility,” she explains. “Even if mortgage rates don’t drop dramatically, having more room in the budget makes it much easier to qualify for a loan without ‘stretching’ every penny.”

Xu says this extra financial breathing room gives potential buyers more leverage to negotiate, more options to choose from and more confidence in the purchasing decision.

More about top countries

Below we take a closer look at the five most populous provinces where wages are higher than housing prices.

In Los Angeles County, the median home price was $879,000 in the first quarter of 2026 – down 1.5% from a year ago – while wages rose 3.0% over the same period.

Jameson Tyler Drewpresident of Anubis Properties in the Los Angeles area, tells Realtor.com, “We have a vast entertainment industry, along with strong industries such as aircraft manufacturing and private aerospace companies.”

However, workers still have to spend 66% of annual wages to buy a median-priced home there. “With the average home price hovering around $900,000, mortgage payments and tax burdens aren’t even sustainable for a family trying to start a life,” says Drew.

But Juliette Hohnen of Douglas Elliman in Los Angeles, Realtor.com tells us that rising wages relative to home prices should draw more buyers to the market. “Well-priced homes that don’t require work are being sold, and homes that are slightly underpriced are being bought up,” she adds.

In Cook County, the median home price was $305,000 in the first quarter of 2026, up 2.7% year over year, yet wages exceeded that growth and rose 4.6% in the same time frame, boosting the real estate market.

“It’s probably the best market we’ve seen in downtown Chicago in five or six years,” says Matt Laricymanaging broker at Americorp Real Estate in Chicago. “Many of the people who moved during the [COVID-19] pandemic is coming back home. Many people move from Florida saying they will get snow from hurricanes any day. The suburbs are getting richer and inventory is getting smaller, so bidding wars are common there.”

In Harris County, the median home price in the first quarter of 2026 was $293,750, reflecting a 3.7% year-over-year decline, even as wages moved in the opposite direction, growing 3.3%.

“With the strong job market here, I predict the Houston real estate market will continue to thrive.” Heath Shepherda real estate agent with Douglas Elliman in Houston, tells Realtor.com.

In San Diego County, the median home price in the first quarter of 2026 was $875,250, down 1.7% from the previous year, while wages rose 3.9% during the same period.

San Diego boasts a highly diversified economy, anchored by its vast military and defense presence, world-class biotechnology sector and thriving technology industry.

In Maricopa County, the median home price was $460,000 in the first quarter of 2026, down 2.9% year over year, while wages rose 4.5% over the same period.

“Phoenix has a hot job market,” Phoenix real estate agent Stacy Molenaar by Re/Max fine properties tells Realtor.com. “Many technology-based companies from California, other states and even abroad have moved their offices and warehouses to Maricopa County. We are the hub of many technology companies such as Axon, GoDaddy, Honeywell, American Express, Amazon and Onsemi, to name a few.”