‘Big Mac’ Index Shows Shifts in Housing Affordability

How many burgers could you buy instead of a house?

NASHVILLE, TN (RFD-TV) — The 2025 Big Mac Housing Index offers a unique view of homeownership costs by measuring how many burgers it takes to buy a median-priced house.

Nationally, it takes about 71,000 Big Macs, down nearly seven percent from 2022 and well below the 2005 peak of more than 94,000. This suggests housing is relatively more affordable when compared to consumer goods.

But the picture varies widely by state. According to a report from Investor Observer — California, buyers face the steepest hurdle at more than 149,000 Big Macs, while Louisiana leads as the most affordable at just under 47,000. Other states, such as Ohio and Alabama, also fall near the lower end of the scale, while New York and New Jersey exceed 100,000 Big Macs, underscoring metro-area pressures.

The index, originally devised by The Economist, shows how inflation in consumer goods interacts with home prices, offering a clearer sense of affordability trends. Policymakers and buyers alike can use the measure as a reminder that regional differences remain a defining feature of the U.S. housing market.

While not directly tied to agriculture, the Big Mac Index highlights how broader inflation and affordability trends affect rural communities, where land values and housing costs often shape decisions about farm succession and attracting new farmers.

Related Stories
Cattle producers may get some credit relief, but land and facility borrowing costs likely remain high.
The inverted Choice-Select spread is not a strong warning sign in today’s tighter, higher-quality beef market, according to new analysis from Terrain.
Genevieve Collins from Americans for Prosperity discusses rising Texas property taxes, potential relief, and impacts on farmers, ranchers, and rural communities.
Autumn Lankford Higgins with the Farm Bureau joins us to discuss data center expansion on farmland, rural policy considerations, and the role of agriculture in emerging digital infrastructure.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Markets have been slow to respond as crop stress worsens across major winter wheat regions, where quality ratings have fallen to multi-decade lows.
Mike Stranz joins us to discuss farm safety net reforms, NFU’s proposed IMSET program, and the challenges facing family farmers nationwide.
USDA will elevate its “Plant Not Plastic” initiative and promote American cotton over synthetic fibers.
The investigation does not prove wrongdoing, but it raises federal scrutiny of a major cost center for crop producers.
The state-level focus is split between labeling and sales restrictions.
For decades, U.S. agriculture has planned around feeding a growing world. Experts say that trend could reverse course in the next 30 years.