Where are California’s most affordable homes? Check out this map
California home affordability, as measured by the California Association of Realtors, is at a 10-year low.
By the association’s math, 26 percent of California house hunters could comfortably afford to buy a median-priced, existing single-family home in 2018’s second-quarter vs. 31 percent in the first quarter and 29 percent a year ago.
The association blames rising home prices and pricier mortgages for the lowered affordability. Six years ago, in the early days of the economic recovery, affordability hits its most-recent peak at 56 percent.
The affordability index shows a successful California house hunter needs an annual income of $126,490 to buy the $596,730 statewide median-priced, existing single-family home in the second quarter, assuming a monthly payment of $3,160 with 20 percent down and a 30-year mortgage with a fixed 4.7 percent interest rate. A year earlier, a similar mortgage went for 4.09 percent.
For the four counties covered by the Southern California News Group, here are affordability metrics for the second quarter including ranking among the 49 counties covered …
Orange County: 20 percent could afford $830,000 median-priced home that generates a $4,400 monthly payment requiring an income of $175,930 to purchase. State rank: 39.
Los Angeles County: 26 percent could afford $557,220 median-priced home that generates a $2,950 monthly payment requiring an income of $118,110 to purchase. State rank: 34.
Riverside County: 37 percent could afford $405,000 median-priced home that generates a $2,150 monthly payment requiring an income of $85,850 to purchase. State rank: 26.
San Bernardino County: 49 percent could afford $290,000 median-priced home that generates a $1,540 monthly payment requiring an income of $61,470 to purchase. State rank: 6.
So where are California’s “bargain” by this math? Check out this map tracking affordability measures for 49 major California counties.
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