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Starter Homes Out of Reach for Most Non-Homeowners, LendingTree Finds

7/1/2026

The typical non-homeowner household earns roughly $7,000 less per year than the income required to purchase an entry-level home, according to LendingTree.

That shortfall positions starter homes — historically the first rung of wealth-building through real estate — outside the financial reach of most prospective buyers.

LendingTree's research frames the gap not as a close call but as a structural barrier separating the majority of non-homeowning households from the bottom of the market.

A $7,000 Annual Income Deficit The $7,000 figure from LendingTree captures an income deficit, not a savings gap or a down-payment problem — it reflects the difference between what a typical non-homeowner household takes in each year and what is required to afford an entry-level purchase.

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