Do the Math

Here's the salary needed to afford a home in Dallas

5823 Richmond Ave. Dallas home for sale exterior

Don't forget about property taxes when pricing your dream home.

Photo courtesy of Keller Williams

We know how many hours it takes to pay the rent in Dallas, but what sort of salary do you need if you want to buy a house? SmartAsset has the answer for Big D and three other Texas cities, based on its determination of a typical total monthly payment that includes mortgage, taxes, and homeowners insurance.

Gathering data from the U.S. Census Bureau and using the median home value in each of the 15 cities it studied, the personal finance website operated under the assumption that prospective homebuyers would pay 20 percent down on a 30-year-mortgage with a four percent interest rate. Things like an annual home value increase of two percent, annual inflation of two percent, and homeowners insurance at a rate of 0.5 percent were also included in the math.

Dallas can thank its affordable homes for its No. 8 ranking and a suggested necessary salary of only $27,505. To pay off a home that costs a median $135,400, Dallasites need only shell out a monthly payment of $825.

With similar numbers, No. 9 Houston suggests homeowners can get by on a $27,067 salary. The average Houston household earns $46,000 a year, however, meaning that affording the monthly $812 is probably not that much of a reach.

Austin homeowners should be especially cognizant of property taxes, as it's those pesky payments (some of the highest in the study) that greatly up the salary required for a home there. The real estate taxes on a home worth $240,000 in Austin (the median price) would be higher than the real estate taxes on a $471,000 home in Los Angeles. Monthly payments on the average home in Austin are about $1,426, which sets the yearly suggested salary at $47,523 and puts Austin at No. 6 on the list.

SmartAsset further clarifies how much property taxes impact those looking to buy in Austin, with the example of it taking a salary of $100,000 to afford the payments on a $609,500 home in San Jose (its median). If someone were to buy a home for the same price in Austin, SmartAsset would recommend an income of $128,000 — those real estate taxes in Austin would cost almost $600 a month.

Despite a recent population boom, San Antonio has remained affordable for prospective homebuyers, and that helps land it at No. 13. SmartAsset calculates a salary of $23,529 to afford a median-priced home of $117,000, but don't forget that important lesson about property taxes — they're all pretty high in Texas, and in San Antonio nearly 30 percent of that $706 monthly payment would go toward paying them.

If you're looking to move to San Francisco, better hope you land a well-paying job. It would take at least $128,598 to be able to buy a home there, as the median cost of one is nearly $800,000.

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HAUTE PROPERTIES

Texas Hill Country ranch tied to George Strait lists for $19.5 million

Lone Woman Ranch, the Hill Country estate where country stars like George Strait, George Jones, and the Ace in the Hole Band rehearsed, is up for sale for $19.5 million.

Located on 675 acres in Hays County, just south of Austin, the secluded ranch once served as an artistic getaway for emerging Texas artists. The property, listed by Republic Ranches, is named after the nearby Lone Woman Mountain, and its elevation provides an incredible view of the county. On a clear day, you can see all the way to downtown Austin.

The land comes with two residences, both built near the entrance gate. The primary stone house has original hardwood floors, a recently remodeled kitchen and bathrooms, as well as a new HVAC system. The secondary residence was used as a rehearsal space. Both have had long-term residents who made improvements, and both have their own septic systems, wells, and electric meters.

The real appeal of Lone Woman Ranch, however, is the extensive woods, creeks, and natural setting. It is situated next to 6,000 acres of conservation land, including Storm Ranch.

Two fully stocked ponds — a 4-acre and a 1-acre — are located onsite. Runoff from the larger pond creates picturesque seasonal limestone waterfalls. The surrounding woods are full of wildlife, including white-tailed deer, turkeys, doves, and more, and the property is under wildlife exemption.

The entire mountain is included in the property, making it a veritable mini-kingdom for the owner, with unobstructed privacy on three sides. A network of ranch roads provides access throughout the property, including most of the way up Lone Woman Mountain, giving views around every corner.

It's little wonder the ranch was a muse to so many country musicians. But only Strait can tell you whether his 1996 hit "King of the Mountain" was inspired by the ranch.

Photo courtesy of Republic Ranches

Lone Woman Ranch has ties to country music stars.

ranches hill country hays county celebrities george strait george jones listings