Fewer people can afford California homes
The California Association of Realtors reports that fewer people can afford a median-priced home in California as of May on this year (compared to last year). Of course, this is no surprise to us as we are experiencing buyers who are being priced out of the market. What this means is that the buyers are able to afford less than they expected, or that they are buying in an area where they originally did not want to consider (perhaps it's farther away from their workplace, etc. than they planned to be).
C.A.R.'s May Housing Affordability Index (HAI) was at 16% in May, down 1% from April.
Where are the affordable areas? The most affordable area in California is the High Desert region, then comes the Sacramento and Riverside/San Bernardino regions. The least affordable area? The Santa Barbara region.
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