Carrie Bradshaw’s NYC apartment. Peter McAlister’s sprawling suburban Chicago home. Danny Tanner’s very full San Francisco house. Some of the most iconic TV and movie moments take place in someone’s home — and make their lifestyle seem not only realistic but attainable.
But a $1.7 million floating home in Seattle on an architect’s salary? A $2.6 million New York apartment for a chef and a waitress? Not likely. In fact, a recent study by Clever Real Estate evaluates 20 famous TV and movie homes and finds only two would be affordable to real-life versions of the characters, based on today’s prices and incomes. Even renting is out of the question for all but four of the homes studied.
Still-high mortgage rates, increasing prices, and a low housing supply causes Americans even more drama as they try to afford a home. These challenges are a stark reminder that you can’t believe everything you see on TV.
What Can Real Modern Families Afford?
The ratio of home prices to annual income is at an all-time high. Between 2019 and 2022, home prices increased 43%, and salaries only 7%. This discrepancy puts the typical home out of reach for many Americans, including the pop culture homes of their childhoods.
“Most of those homes were certainly more affordable back when the shows were airing compared to today,” says Seamus Nally, CEO of TurboTenant. “Not only did they cost less across the board, but the difference between housing affordability and income was a smaller gap than it is today.”
A 6,500-square-foot Bel-Air home sold for about $1.5 million in 1991, just a year after The Fresh Prince of Bel-Air debuted. Today, the Fresh Prince mansion is worth approximately $10.5 million — the highest of the famous homes evaluated.
The average estimated value of the 20 TV and movie homes studied was $2.75 million, seven times higher than the average U.S. home value of $362,481.
“Most of the TV/film homes aren’t typical,” said Jerry O’Reilly, a real estate investor at Cash Home Buyers Crew in Houston. “The original Leave It to Beaver home was typical for the time, but The Brady Bunch home was expansive compared to common homes.”
Today, Mike and Carol Brady would have an estimated household income of about $184,300. While that’s well above the average American’s annual income of $59,428, it’s nowhere near the annual salary they’d need to afford their $3 million home, plus the down payment and closing costs. Some experts say a $600,000 annual salary is the absolute minimum.
But some famous homes are more affordable for today’s buyers. For instance, the homes featured in Roseanne, That ‘70s Show, and Breaking Bad all fall below the average U.S. home value. A homebuyer would need an annual salary of about $90,000 to purchase one of these houses.
Big City Housing Dreams
While TV shows and movies set in large cities like New York, San Francisco, Seattle, or Los Angeles may be great for storytelling, they have costlier housing markets. These cities comprise three of the 10 most expensive states.
Low housing supply and high demand have driven home costs over the last few decades. Building a new home can take about seven months, a pace too slow to meet the need. As of 2022, the U.S. was short 4.5 million homes. New York, Los Angeles, Portland, San Francisco, and Seattle are among those large cities with the greatest shortages.
Location, livability, and features that increase quality of life often motivate homebuyer demand. However, areas that support such amenities lack available land to build additional housing. This scarcity limits supply and raises home costs.
“As simple as it sounds, people want to live in the most desirable locations, although they can’t always afford to do so,” said Doug Perry, strategic financing advisor at HouseCashin in Maryland.
Midwestern Affordability
The Midwest is an attractive option for homebuyers as well as the two fictional families who could afford their famous homes — the Conners from Roseanne and the Formans from That ‘70s Show.
As of September 2023, Iowa boasted the lowest median home price in the nation: $229,000. North Dakota and South Dakota also rank highly for housing affordability.
For those looking to sell, homes in the Midwest’s metropolitan areas post significant year-over-year price growth. Prices in Wisconsin, Illinois, and Indiana have soared 20% or more yet remain lower than the national average. That’s also good news for buyers, who can get more house for their buck — especially if they plan to pay in cash.
However, the Midwest isn’t immune to the high price-to-income gap. About 28% of urban homeowners spend more than 30% of their income on housing costs, compared to about 23% of rural homeowners.
The Impact of Insurance and Property Taxes
One underlying aspect of home affordability is varying insurance rates from state to state. Homes in high-demand regions or those with regular natural disasters such as floods, fires, and hurricanes are difficult to insure and face higher premiums.
“Some companies now refuse to insure older roofs and have expanded no-insure flood and fire areas,” O’Reilly points out. “This impacts sales when people need cash to buy — and cash to repair or rebuild when weather damages or destroys uninsured houses or structural parts.”
At $5,655, Nebraska has the country’s highest average annual premium for homeowners insurance, thanks to its summer storm season. Other Midwest states like Kansas, North Dakota, and South Dakota also have high yearly premiums. Along the West Coast and in the Northeast, premiums tend to be lower than the national average of $2,270 for a $300,000 home.
Property taxes also affect affordability and vary from state to state. In the Northeast, property tax rates can be as high as 2.23%, while West Coast rates average .93% or less. Midwest property taxes range from .84% to 2.08%.
The Facts of Homeownership
TV shows and movies often paint an unrealistic picture of what homeowners can afford.
Remember, while exterior shots often feature real homes, most interiors are sets.
When looking for options within their budget, buyers should consider the home’s location, how much money they can allocate toward a purchase, and “hidden costs” like insurance rates and property taxes. Comparing regional median home prices can ensure buyers get a good deal.
After all, if Full House’s Danny Tanner had been this prudent, he might not have needed three additional adults to help pay his mortgage.
