The high cost of housing in San Diego and other major metro areas is limiting social mobility in the United States, according to new research announced Tuesday.
A study sponsored by the online real estate marketplace Zillow said high costs limit the opportunity for low-income people to live in places that offer the most potential to climb the socioeconomic ladder.
“This research shows that it’s harder than ever for kids who grew up in the country’s lowest income households to live in the places where they’re most likely to succeed,” said Zillow Chief Economist Dr. Svenja Gudell.
“Getting ahead and improving your socio-economic status is at the very heart of the American Dream. We already knew that high rents and growing housing costs were hitting low-income people hardest, and it’s clear the housing affordability crisis on the coasts is a barrier to their upward social mobility.”
The study found that many large California markets are unaffordable by historical standards for both renters and buyers. San Diego was identified as the metro area with the fourth highest cost of owning a home, though it fared better on rents.
In major job markets like the Bay Area, New York, and Los Angeles, the median rent requires more than 40 percent of the median income, Zillow said. In fact, renters in Los Angeles can expect to spend nearly half of their income on rent.
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