California Housing

Affordability
Update –
Q2-2019
Traditional
Affordability Index
 Housing affordability peaked at Q2-2012
California, 1984-2019
80%
Annual Quarterly
% OF HOUSEHOLDS THAT CAN
BUY A MEDIAN-PRICED HOME

70%
60% US, 55%
50%
40%
CA, 30%
30%
20%
10%
0%

SERIES: Housing Affordability Index of Traditional Buyers page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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 Housing Affordability – Traditional Index

California: 2006-2019
60%
Buy A Median-priced Home
% Of Households That Can

50%

40%
30%
30%

20%

10%

0%

SERIES: Housing Affordability Index of Traditional Buyers page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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 Affordability Peak vs. Current
HAI Peak vs. Current
Q2-2019 Q1-2012
80%
71% 71%
70% 65%
60% 55% 56% 56%
50% 45%
40% 42%
40%
30% 32%
30% 24%
20%
10%
0%
US CA SFH CA Condo / Los Angeles Inland Empire S.F. Bay Area
Townhomes Metropolitan
Area
SERIES: Housing Affordability Index of Traditional Buyers page
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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Minimum Annual Income Required
During Affordability Peak vs. Current

Region 2012 Q1 2019 Q2 % CHG

CA SFH $56,320 $122,960 118.3%

CA
$44,440 $95,960 115.9%
Condo/Townhomes
Los Angeles
$53,780 $109,090 102.8%
Metropolitan Area

Inland Empire $35,170 $76,760 118.3%

S.F. Bay Area $90,370 $197,970 119.1%

US $32,000 $56,480 76.5%

SERIES: Housing Affordability Index of Existing Detached Homes page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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Minimum Annual Income Required
– Current vs. Last Year

Region 2018 Q2 2019 Q2 CHG. in $

CA SFH $126,490 $122,960 -$3,530

CA
$101,270 $95,960 -$5,310
Condo/Townhomes
Los Angeles
$112,340 $109,090 -$3,250
Metropolitan Area

Inland Empire $76,310 $76,760 $450

S.F. Bay Area $219,380 $197,970 -$21,410

US $57,020 $56,480 -$540

SERIES: Housing Affordability Index of Existing Detached Homes page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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Monthly PITI During Affordability
Peak vs. Current

Region 2012 Q2 2019 Q2 % CHG

CA SFH $1,410 $3,070 118.0%

CA
$1,110 $2,400 116.1%
Condo/Townhomes
Los Angeles
$1,340 $2,730 103.5%
Metropolitan Area

Inland Empire $880 $1,920 118.1%

S.F. Bay Area $2,260 $4,950 119.0%

US $800 $1,410 76.3%

SERIES: Housing Affordability Index of Existing Detached Homes page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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Monthly PITI – Current vs. Last Year

Region 2018 Q2 2019 Q2 % CHG

CA SFH $3,160 $3,070 -2.8%

CA
$2,530 $2,400 -5.1%
Condo/Townhomes
Los Angeles
$2,810 $2,730 -2.8%
Metropolitan Area

Inland Empire $1,910 $1,920 0.5%

S.F. Bay Area $5,480 $4,950 -9.7%

US $1,430 $1,410 -1.4%

SERIES: Housing Affordability Index of Existing Detached Homes page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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 Housing Affordability in CA by county
2019-Q2: % able to purchase median-priced home
70% 63%
60% 55%
50%
40%
30%
30%
20% 15%
10%
0%

SERIES: Housing Affordability Index of Traditional Buyers page

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®
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