U.S. Residents Need $120,000 Annual Income to Afford Middle-Class Lifestyle, Says Realtor

Rising housing costs and crippling debt force many Americans to rethink the traditional path to the 'American dream'.

Orlando realtor and TikTok influencer, Freddie Smith, states that U.S. residents now need to earn at least $120,000 annually to afford a middle-class lifestyle and buy a house.
Smith explains that the average cost of a house in 2024 is between $400,000 and $420,000, and the wage-to-housing gap has forced many people to rent for extended periods.
Smith highlights the crippling debt most Americans are facing, including student loan debt, which averages $500 a month, and credit card debt, often used for groceries when money runs out.
Smith observes a trend of communal living in states like Florida, where multiple families share a single residence due to high housing and living costs.
Smith suggests that the 'old American dream' has died for many, particularly millennials, due to the accumulation of debt and shifting economic conditions.