Studies: Denver Attractive For Homebuyers, But Also Costliest Inland City

DENVER (CBS4) - A new study says Denver is one of the top places in the country to invest in buying a house. But it's also the costliest inland city for homeowners.

Forbes magazine says Denver is the seventh best city in which to buy a house because it's a safe bet. Denver sees little fluctuation in prices of housing; it continues to either climb consistently or doesn't fall flat.

Forbes analyzed numbers from a local market monitor that tracks economic factors in more than 300 housing markets. The study found home prices growing at 10 percent.

Still, the robust market is leaving some would-be homebuyers outside looking in at the home of their dreams -- or any home, really.

According to mortgage information website HSH.com, Denver is the most expensive city in which to buy that doesn't sit on a coast.

In Denver, the average home price -- depending on the area -- can range from roughly $278,000 to $337,000.

To snag a home at $315,000, a homebuyer would need to earn $63,000 annually to afford a $1,470 monthly payment with a 4.28 percent mortgage rate.

If for-sale signs haven't given it away, it's a seller's market in Denver. The metro area has been described as a "model of real estate consistency," meaning home prices haven't risen too fast or fallen too hard.

The criteria used for the study took average mortgage rates and average home prices in 25 other metro areas, covering principal, interest payments, property taxes and insurance payments.

Denver ranked eighth in salary requirements needed to afford a house.

If you're thinking of moving to find cheaper digs elsewhere, consider these salary requirements:

New York City would require you to earn just more than $92,000 to afford a home. In Los Angeles, bring in $96,000. San Diego is steeper at almost $102,000. San Francisco is the heavyweight. You'll need to earn $145,000 a year to afford the median home of about $600,000.

Of the 25 metro areas studied, Pittsburgh required the least to buy a home at just more than $32,000 with the median home costing around $137,000.

Other bargain cities include Cleveland and Cincinnati.