Less than one in three Californians could afford to purchase a home in the fourth quarter, with affordability conditions declining in every Bay Area county from one year earlier.
Tag Archive: affordability
Pending home sales continued their skid in California and the Bay Area in October due to shrinking inventory, with the state's eroding affordability conditions remaining real estate professionals' chief concern.
Inventory shortages continue to drive up Golden State home prices, further reducing the number of households that can afford to purchase a home. Here in the Bay Area, affordability improved slightly from the second quarter, though four local counties have the most difficult conditions in the state.
Some welcome news for Bay Area home shoppers: Affordability increased in every local county in the third quarter. Unfortunately, the region's home price growth continues to outpace wage growth for the most part.
The Golden State's housing market is currently not particularly friendly to those looking to get a foot in the door, as it is home to the majority of the nation's 10 least-affordable markets for first-time buyers. And here in the Bay Area, conditions are even more problematic for first-time buyers, as the median income won't buy a home in any ZIP code in three local counties.
Foreclosure activity dropped by more than 25 percent on an annual basis in San Francisco and San Jose in the first half of the year, while a new proposal seeks to ease California's development restrictions. Check out these and other headlines of note in Pacific Union's latest Real Estate Roundup.
An overwhelming majority of Americans believe that purchasing a home is a solid financial move, though worsening affordability is a top concern.
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