Industry News

Los Angeles, Napa top least affordable housing markets

Most homes unaffordable to median-income families in Q3

Housing affordability increased in the third quarter compared to the same quarter last year, the National Association of Home Builders reported today, though less than half of all new and existing homes sold during the third quarter were affordable to families earning the national median income. Nine of the 10 least affordable metro areas tracked in the Housing Opportunity Index are in California, while four of the 10 most affordable metro areas are in Michigan and three are in Ohio. About 57 percent of the 215 metro areas included in the index had index scores indicating that most homes sold in the third quarter were not affordable to a median-income family. Nationwide, 42 percent of new and resale homes sold in the third quarter were affordable to families earning a median income of $59,000, compared with 40.4 percent in third-quarter 2006 and 43.1 percent in second-quarter 2007. The national median price of homes sold in the third quarter was $239,000, down 3.6 percent compared with...