One-quarter of San Diego County households could afford to buy a median-priced home in the last three months of 2015, down from 27 percent in the comparable year-ago period, the California Association of Realtors reported Thursday.
In calculating its affordability index, CAR used a 30-year fixed mortgage with a 4 percent annual interest rate as a benchmark.
After factoring in taxes, insurance and a 20 percent down-payment, a local household would need a qualifying annual income of $109,390 to afford a property, making average monthly payments of $2,730, according to the association’s estimates.
In the most recent quarter, the countywide median home price was $546,770, according to figures.
Statewide, 30 percent of prospective homebuyers could qualify to purchase a property at the fourth-quarter median price of $483,050, vs. 29 percent in the third quarter of 2015, when the median price stood at $488,540.
According to CAR, statewide housing affordability peaked at 56 percent in the first quarter of 2012.
— City News Service
