IE Business Daily Business news for the Inland Empire.
Only 15 percent of all households in California could afford a median-priced home – $843,600 – during the third quarter of this year, according to data released Friday.
That represented a 16 percent drop from the second quarter and an 18 percent decline year-over-year, the California Association of Realtors reported.
A yearly income of at least $221,200 was needed to make monthly payments of $5,530, on a 30-year fixed-rate mortgage at a 7.14 percent interest rate.
Twenty-three percent of home buyers were able to purchase a median-priced condo or townhome, which carried a price tag of $650,000. A minimum annual income of $170,400 was required to make a monthly payment of $4,260.
In the Inland Empire, 20 percent of all households could afford a median-priced home of $565,000, down two percent from the second quarter and five percent year-over-year. That would require an annual income of $148,000 to cover monthly payments of $3,700, the association reported.
