Business Journal: Housing Affordability Rate Up
The hard-hit housing market has an upside, at least for entry-level homebuyers in some parts of the state.
Friday, November 30, 2007
Declining home prices and lower mortgage rates are benefiting home-shoppers looking to buy entry-level homes in the Sacramento region. The four-county area is the state’s second-most affordable housing market, with 46 percent of home-shoppers able to purchase the median-priced house in the region during the third quarter, that’s compared to 39 percent from a year ago. Sacramento’s current affordability rate is almost double the statewide figure of 24 percent. The High Desert, which includes Palmdale and Lancaster, is the most-affordable housing market at 48 percent, while Santa Barbara was the hardest for home-shoppers at 11 percent. About three of every five families can afford a home nationwide.