New census data released on Tuesday shows that the median household income has undergone an increase of 5.2% in 2015, up to around $56,000. While this is not a huge increase, it is significant in that it shows that the economic expansion in recent years – which has up to
now been centered around big businesses and wealthy investors – is finally helping the middle class.
We have already shown that more middle class families than ever before are renting out of necessity, and this is unlikely to change in the short term. However, the increase in income suggests that families who rent have more of their take-home to put toward housing. This could create a higher demand for more luxurious, upgraded apartment homes, which would be good news for investors.
More thoughts on rising incomes here.