Just How Much House Can You Afford In Connecticut?

CONNECTICUT — Happy in your current home? Or do you think you could do a little bit better, but aren't sure where to start? A recent study from the personal financial advisors at SmartAsset matches incomes to neighborhoods to help their clients figure out how much house they can afford, and where to find it. Along the way, they pieced together a list of the most affordable places to live in Connecticut.

The sixth annual study weighed factors across the spectrum of a real estate buy, including closing costs, taxes, homeowners' insurance, mortgage rates and home costs. Places where homeownership costs were lowest relative to the median income in each location were considered the most affordable. Each neighborhood was then indexed on a scale from zero to 100, with the most affordable location receiving a score of 100.

The researchers started the analysis by including all cities with a population of 5,000 or greater. They then measured the total cost of owning a home (using the average home cost) in each neighborhood over a five-year period. That five-year cost was then measured as a proportion of median household income in each place to determine affordability.

At the top of the affordability list, and with the lowest closing costs on the list, was the Enfield neighborhood of Southwood Acres. Its position in the list is boosted by the relatively high median income of its residents, $88,510.

An Enfield enclave took the second spot on the list as well. SmartAsset found Sherwood Manor the second most affordable neighborhood in the state.

The residents of Simsbury Center have the largest mortgage payments to make each month of any other neighborhood on the list, but they can handle it: They have the highest income on the list as well.

Here's the top ten most affordable neighborhoods in Connecticut, with their "affordability index" in the parentheses:

#1 : Southwood Acres, Enfield (44.06)

• Avg. Closing Costs: $3,477
• Annual Property Tax: $4,488
• Annual Homeowner's Insurance: $1,036
• Avg. Annual Mortgage Payment: $9,453
• Median Income: $88,510

#2: Sherwood Manor, Enfield (38.53)

• Avg. Closing Costs: $3,555
• Annual Property Tax: $4,637
• Annual Homeowner's Insurance: $1,099
• Avg. Annual Mortgage Payment: $10,034
• Median Income: $82,683

#3 : Torrington (33.16)

• Avg. Closing Costs: $4,452
• Annual Property Tax: $4,707
• Annual Homeowner's Insurance: $877
• Avg. Annual Mortgage Payment: $8,077
• Median Income: $63,576

#4: Simsbury Center, Simsbury (32.91)

• Avg. Closing Costs: $4,123
• Annual Property Tax: $6,907
• Annual Homeowner's Insurance: $1,688
• Avg. Annual Mortgage Payment: $15,408
• Median Income: $108,264

#5 :Windsor Locks (32.89)

• Avg. Closing Costs: $4,964
• Annual Property Tax: $3,425
• Annual Homeowner's Insurance: $1,078
• Avg. Annual Mortgage Payment: $9,838
• Median Income: $66,846

#6: Winsted, Winchester (31.34)

• Avg. Closing Costs: $4,310
• Annual Property Tax: $3,713
• Annual Homeowner's Insurance: $822
• Avg. Annual Mortgage Payment: $7,498
• Median Income: $53,870

#7 : Oakville, Watertown (31.07)

• Avg. Closing Costs: $5,035
• Annual Property Tax: $4,222
• Annual Homeowner's Insurance: $1,106
• Avg. Annual Mortgage Payment: $10,095
• Median Income: $68,117

#8: Terryville, Plymouth (30.60)

• Avg. Closing Costs: $4,883
• Annual Property Tax: $4,770
• Annual Homeowner's Insurance: $1,047
• Avg. Annual Mortgage Payment: $9,550
• Median Income: $66,875

#9 : Naugatuck (30.39)

• Avg. Closing Costs: $4,834
• Annual Property Tax: $5,970
• Annual Homeowner's Insurance: $1,027
• Avg. Annual Mortgage Payment: $9,375
• Median Income: $70,512

#10: Stafford Springs, Stafford (30.32)

• Avg. Closing Costs: $4,627
• Annual Property Tax: $4,016
• Annual Homeowner's Insurance: $946
• Avg. Annual Mortgage Payment: $8,635
• Median Income: $58,946