“The percentage of households that could afford to buy an entry-level home in California declined to 18 percent in the first quarter of 2007, compared with 20 percent for the same period a year ago, according to C.A.R.’s First-time Buyer Housing Affordability Index (FTB-HAI). The minimum household income needed to purchase an entry-level home at $704,230 in San Francisco in the first quarter of 2007 was $141,990, based on an adjustable interest rate of 6.3 percent and assuming a 10 percent down payment. First-time buyers typically purchase a home equal to 85 percent of the prevailing median price. The monthly payment including taxes and insurance was $4,730 for the first quarter of 2007.”-C.A.R.
It’s amazing to read this kind of information. You’d think it would slow the market down, but we’re really, truly not seeing it. Are you?
–C.A.R. Housing Affordability Report [California Association of Realtors]
–C.A.R. Housing Affordability Report [en Espanol]