Brooklyn, Which Used to Be Mostly Poor, is Now the Most Unaffordable City For Housing

It's easy to guess that New York City, San Francisco and other large metro areas would be among the most expensive areas for housing, but Brooklyn? Yes, Brooklyn has become the least-affordable housing market, relative to income, in the U.S., according to New York magazine and Bloomberg report.

How expensive?

If you want to buy a median-priced home in Brooklyn, you will need an income level that's at least 98 percent of the area's median income to be able to pay the median price of $615,000. This makes Brooklyn the most unaffordable housing market in the U.S., followed by San Francisco and Manhattan.

Why so much?

Overseas investors have been gobbling up Manhattan properties, particularly condos, to the tune of almost 30 percent. This has been occurring since 2008. The result is pushing other buyers towards upscale neighborhoods in Brooklyn, such as Brooklyn Heights, Cobble Hill, and Park Slope. The increase has driven prices up in Brooklyn.

Million dollar townhomes

For example, in 2014, 98 townhouses in Brooklyn sold for over $3 million, and one historic brownstone sold for a whopping $10.78 million. For renters and others who can't afford it, it's a nightmare.

So, is Brooklyn now the new Manhattan? Many think so.

Read more at www.businessinsider.com/brooklyn-is-officially-the-most-unaffordable-housing-market-in-america-2015-1