The American dream of owning a home with a yard, a pet, and a family has become increasingly difficult to achieve due to rising costs of living, a competitive housing market, and a trend of mounting debt.
A recent analysis found that most American households would need to spend $10,000 or more just to afford the same goods and quality of life they had in 2021. Another report found that in every state, you need to earn at least six figures to achieve the American dream.
The costs of the American dream vary widely by state. In Hawaii, residents need almost $260,800 to afford the idyllic life, while in Mississippi, you need less than $110,000.
In every state, the median income is well below the total costs outlined to afford the “perfect” life. For example, in Mississippi, the median household income was just under $53,000, roughly half the $110,000 needed for the “American dream.”
The rising cost of living makes it difficult for many people to achieve the American dream. Even if you live in a relatively affordable state, the dream of a white picket fence may remain out of reach for some time.
