Department of Numbers

Kansas Home Affordability

The data below quantifies Kansas home affordability by using home prices and home price indices to calculate price-to-income and price-to-rent ratios.1 The maximum affordable loan amount for the median household income is also calculated. You can also compare Kansas home affordability to other states.

Kansas Home Price-to-Income Ratios

The home price-to-income ratio for Kansas comes from the Federal Housing Finance Agency's relatively new state median price series and their purchase only index combined with Kansas annual median household income data. The FHFA home price series yields a dollar ratio (top chart) while the index results in an index ratio (bottom chart). Based on the latest FHFA state home prices in June 2010, the price-to-income ratio for Kansas was 2.57.

Home Price-to-Income Dollar Ratio: FHFA

Chart of Kansas home price-to-income ratio using FHFA median price

Home Price-to-Income Index Ratio: FHFA

Chart of Kansas home price-to-income ratio using FHFA HPI

Note: Index set to 100 in Q1 of 2000

Kansas Home Price-to-Income Ratio History

Date FHFA
(Dollar Ratio)
FHFA
(Index Ratio)
December 2013 108.2
September 2013 108.5
June 2013 107.7
March 2013 105.8
December 2012 105.2
September 2012 104.8
June 2012 104.0
March 2012 104.1
December 2011 111.2
September 2011 110.9

Kansas Home Price-to-Rent Ratios

The price-to-rent ratio for Kansas is determined for both the FHFA median price and the purchase only index by calculating a ratio with the median contract rent. The price-to-adjusted rent value takes into account CPS reported household size to attempt to correct for quality differences in renter and owner occupied homes. More on that process here. Again, the median price ratio is a dollar ratio and the HPI ratio is an index ratio defined to be 100 in Q1 2000. The adjusted price-to-rent ratio for Kansas was 16.56 in June 2010.

Home Price-to-Rent Dollar Ratio: FHFA, FHFA Adjusted Rent

Chart of Kansas home price-to-rent ratio using FHFA median price

Home Price-to-Rent Index Ratio: FHFA

Chart of Kansas home price-to-rent ratio using FHFA HPI

Note: Index set to 100 in Q1 of 2000

Kansas Home Price-to-Rent Ratio History

Date FHFA
(Dollar Ratio)
FHFA Adjusted
(Dollar Ratio)
FHFA
(Index Ratio)
December 2013 93.3
September 2013 93.6
June 2013 92.9
March 2013 91.3
December 2012 90.8
September 2012 90.4
June 2012 89.7
March 2012 89.8
December 2011 91.0

Kansas Inferred Affordable Mortgage

The inferred affordable mortgage is determined by taking the median household income for Kansas and calculating the mortgage 30% of that income could afford. Traditionally, 30% of income is the maximum amount a homeowner could use towards a home loan. Inferred affordable loan values are calculated from median household income and average monthly mortgage rates. The amounts are not adjusted for inflation.

Inferred Affordable Mortgage

Chart of Kansas maximum affordable home loan amount

Kansas Inferred Affordable Mortgage History

Date Inferred Mortgage
February 2014 $252,603
January 2014 $248,751
December 2013 $247,875
November 2013 $253,806
October 2013 $255,932
September 2013 $247,003
August 2013 $247,875
July 2013 $250,518
June 2013 $259,640
May 2013 $277,003
April 2013 $280,120
March 2013 $275,975
February 2013 $277,347

1. Specifically, Home prices are from the FHFA seasonally adjusted, purchase only quarterly series. Rent data is from the Census ACS and income is from the Census CPS. Rent and income data for the previous year is carried into the following year for calculations prior to release of new data.