ltrealtor1The percentage of households that could afford to buy an entry-level home in California stood at 44% in the first quarter of 2008, compared with 26% at the same time a year ago, according to a report released by the California Association of Realtors® (C.A.R).
C.A.R.’s First-time Buyer Housing Affordability Index (FTB-HAI) measures the
percentage of households that can afford to purchase an entry-level home in
California. C.A.R. also reports first-time buyer indexes for regions and counties within the state. The Index is the most fundamental measure of housing well-being for first-time buyers in the state.
Of course San Mateo County remains more prohibitive. The minimum household income needed to purchase an entry-level home at $765,000 in San Mateo County in the first quarter of 2008 was $145,620 based on an adjustable interest rate of 5.65 percent and assuming a 10 percent down payment.First-time buyers typically purchase a home equal to 85 percent of the prevailing median price.
At 64% Sacramento County and the High Desert region were the most affordable areas in the state.
San Mateo County is up from 19% in Q1 2007 to 22% Q1 of 2008.
C.A.R. FIRST-TIME BUYER HOUSING AFFORDABILITY INDEX *
|
C.A.R. Region |
Q1 2008 |
Q4 2007 |
|
Q1 2007 |
|
|
California |
44 |
33 |
|
26 |
r |
|
California – Condos |
50 |
42 |
|
37 |
r |
|
United States |
69 |
65 |
|
63 |
|
|
COUNTY |
|
|
|
|
|
|
Alameda |
34 |
27 |
|
25 |
|
|
Contra Costa |
31 |
22 |
|
19 |
|
|
Fresno |
56 |
47 |
|
44 |
|
|
Marin |
24 |
22 |
|
21 |
|
|
Merced |
61 |
51 |
|
46 |
|
|
Riverside |
55 |
42 |
|
35 |
|
|
San Bernardino |
59 |
46 |
|
41 |
r |
|
San Francisco |
23 |
20 |
|
18 |
|
|
San Joaquin |
NA |
NA |
|
38 |
|
|
San Mateo |
22 |
19 |
|
19 |
|
|
Santa Cruz |
28 |
22 |
|
20 |
|
|
Sonoma |
41 |
36 |
|
26 |
|
|
Stanislaus |
NA |
NA |
|
40 |
|
* — percentage of California households that can afford to purchase a median-priced home
r – revised
Source: CALIFORNIA ASSOCIATION OF REALTORS®
