Housing affordability dropped in California during the second quarter of this year, as lower interest rates failed to offset an increase in home prices.
The number of homebuyers who could afford a median-priced, single-family home in the state fell to 30 percent during the quarter, the California Association of Realtors reported Tuesday.
That was a decline of three percentage points from the first quarter of 2014, and a drop of six percentage points year-over-year, according to the association’s Traditional Housing Affordability Index.
The statewide median home price during the second quarter was $457,140. At that price, anyone wanting to a buy a home would need an annual income of at least $93,590, assuming a 20 percent down payment and a monthly payment of $2,340.
During the second quarter, Kings, San Bernardino and Merced were the most affordable counties for housing sales, while San Francisco, San Mateo and Marin counties were the least affordable, according to the index.
The association is a trade organization with offices in Los Angeles and Sacramento. It has more than 110 local member associations and more than 155,000 associates and affiliate members, according to its website.