IE Business Daily Business news for the Inland Empire.
National housing affordability was stable during the third quarter, as single-family home prices firmed up throughout most of the country.
Overall, 61.8 percent of the new and existing homes that were sold from July 1 through Sept. 30 were affordable to families earning the U.S. median income of $63,900, according to data released Thursday by the National Association of Home Builders in Washington, D.C.
That was down from 62.6 percent during the second quarter. The national median home price went up from $214,000 in the second quarter to $221,000 during the third quarter, while the average mortgage rate dropped from 4.4 percent to 4.35 percent during that time, according to the data.
“Even with nationwide home prices hitting their highest level since the end of 2007, [housing] affordability still remains fairly high by historical standards,” said David Crowe, chief economist for the association, in a statement. “Rising employment and incomes, interest rates that remain nearly historically low levels and pent-up demand should contribute to positive momentum heading into next year.”
