Marcus Lemonis argues that prime housing costs are primarily resulting from an absence of provide, not simply laws. He highlights mandatory permits and inspections for security, questioning the declare that eradicating crimson tape would decrease costs considerably.
The states with the greatest affordability for homebuyers and which might be facilitating essentially the most building of recent properties are centered within the Midwest and South, based on a brand new report.
Realtor.com launched the 2026 version of its housing report playing cards for all 50 states plus the District of Columbia, which confirmed that states throughout the Midwest and South outperformed their friends from the Northeast and West.
Whereas no states earned an A+ grade, which suggests that every one have room for enchancment, 12 of the 13 states with the very best grades had been all situated within the Midwest and South, receiving grades within the B- to A variety. Half of the grade is predicated on an affordability measure, whereas the opposite half is predicated on homebuilding exercise.
“This yr’s refresh reveals a well-recognized regional divide, but in addition some notable shifts beneath the floor, with a brand new state on the prime of the category and a handful of states whose grades moved dramatically in both route,” stated Realtor.com senior economist Joel Berner.
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Realtor.com’s state report for housing affordability gave Indiana, Iowa and North Carolina A grades, whereas Texas acquired an A-. (Mark Felix/Bloomberg by way of Getty Pictures)
Indiana topped the checklist with a complete rating of 76.3 on the 100-point scale, incomes an A primarily based on robust affordability and homebuilding exercise that helped it rise three spots from final yr’s rankings.
The median-priced house within the Hoosier State was $295,810 and required about 28% of the median family earnings of $71,469, which fell under the 30% benchmark for affordability.
Different states to obtain A grades embrace Iowa, which has a median itemizing worth of $282,886 and a median family earnings of $75,991, in addition to final yr’s chief South Carolina, with a median itemizing worth of $363,896 and a median earnings of $67,758.
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Texas ranked fourth with an A- grade, given the Lone Star State’s median itemizing worth of $364,749 and median earnings of $76,585. North Carolina and Nebraska had been the one two states to obtain B+ grades.
The most important risers within the report in contrast with final yr had been Delaware and Utah, which every jumped 12 spots. Delaware rose from nineteenth to seventh, whereas Utah noticed its rating rise from twenty ninth to seventeenth.

Realtor.com’s report is predicated on new building exercise in addition to affordability metrics for consumers. (Joshua Lott/Bloomberg by way of Getty Pictures)
Six states acquired F grades on their report playing cards, with New York rating final resulting from a $668,173 median itemizing worth and median earnings of $82,657. The opposite 5 states that acquired F grades had been all situated within the Northeast or West, with Massachusetts, Rhode Island, Hawaii, California and Connecticut rounding out the underside of the checklist so as of the worst grade to the most effective.
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A lot of the states close to the underside of the rankings noticed their rankings maintain regular or change little from a yr in the past, as they proceed to face excessive costs, restricted land for constructing with restrictive zoning insurance policies, and constructing prices outpacing what middle-income consumers can afford.
The most important drops had been three states which all fell eight spots within the rankings – Alabama fell from thirteenth to twenty first, Maryland dropped from twenty third to thirty first, and New Jersey slipped from thirty fifth to forty third.

New York slipped into final place within the 2026 rankings. (Lindsey Nicholson/UCG/Common Pictures Group by way of Getty Pictures)
This is the checklist of the Realtor.com report’s grades for every of the 50 states in addition to the District of Columbia:
- Alabama: C
- Alaska: C-
- Arizona: C
- Arkansas: B
- California: F
- Colorado: C+
- Connecticut: F
- Delaware: B
- District of Columbia: D+
- Florida: B
- Georgia: B
- Hawaii: F
- Idaho: C
- Illinois: C
- Indiana: A
- Iowa: A
- Kansas: B
- Kentucky: C
- Louisiana: C
- Maine: C-
- Maryland: C
- Massachusetts: F
- Michigan: C
- Minnesota: C+
- Mississippi: C-
- Missouri: C
- Montana: D
- Nebraska: B+
- Nevada: C-
- New Hampshire: D+
- New Jersey: D
- New Mexico: C-
- New York: F
- North Carolina: B+
- North Dakota: C
- Ohio: C+
- Oklahoma: B
- Oregon: D-
- Pennsylvania: C
- Rhode Island: F
- South Carolina: A
- South Dakota: B
- Tennessee: C
- Texas: A-
- Utah: C+
- Vermont: D+
- Virginia: C+
- Washington: C-
- West Virginia: C
- Wisconsin: C
- Wyoming: C-
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