A ''For Sale'' sign is outside a residential home in Los Angeles, California, on May 3, 2026. (Photo by Michael Yanow/NurPhoto via Getty Images)
DETROIT (FOX 2) - Purchasing a home is never cheap, but if you feel like becoming a homeowner is more expensive than in the past, you're right.
A new study from MoneyLion set out to compare how much more it costs to buy a home in 2026 than it did five years ago in 2021.
Buying a home in Michigan in 2026 vs. 2021
The backstory:
To compare the difference between now and five years ago, MoneyLion looked at data that showed average home values, mortgage costs and the salary needed to afford a typical single-family home in each state across the U.S. in both 2021 and 2026.
What they found was that the average mortgage rate had jumped from 2.77% to 7.28% on average in the U.S. It also revealed that the average salary needed to afford a home in 2026 was 69% higher than it was in 2021.
By the numbers:
In Michigan, MoneyLion found that the average home was now $51,473 more expensive in 2026 versus 2021, a 24.2% increase.
The study also found that Michigan homeowners now spend $9,550 more each year on their mortgage on average.
To afford this, Michigan residents in 2026 need to make $34,108 more per year in order to afford a single-family home, a 107.7% increase from 2021.
Neighboring states
Dig deeper:
Homeowners in the neighboring states of Michigan aren't saving much money either. A home in Wisconsin is now $82,785 more on average in 2026 than in 2021 and $57,870 more in Ohio.
In Illinois, the average home is roughly $70,735 more than five years ago, while Indiana residents are paying $58,906 more.
The Source: This story was written using information from a study done by MoneyLion and was reported out of Eden Prairie, Minnesota.