Wednesday, September 7, 2011
Housing affordability hovers at near record levels
Nationwide housing affordability is hovering near record levels, according to the latest NAHB/Wells Fargo Housing Opportunity Index (HOI) data released this week. The HOI indicated that 72.6 percent of all new and existing homes sold in the second quarter of the year were affordable to families earning the national median income of $64,200. The affordability measure dipped slightly from the all-time high of 74.6 percent set last quarter but remained above the 70 percent threshold initially achieved in the first quarter of 2009.
The Greenville metropolitan area affordability index was 79.3 during the second quarter, up from 77.9 in the first quarter. The high for the area was 85.9 in the first quarter of 2004.
Youngstown, Ohio was the most affordable major housing market during the second quarter. In Youngstown, 93.7 percent of all homes sold were affordable to households earning the area’s median family income. Also ranking near the top of the most affordable major markets were Syracuse, N.Y.; Indianapolis, Ind.; Dayton, Ohio; and Lakeland-Winter Haven, Fla.
New York-White Plains-Wayne, N.Y.-N.J., led the nation as the least affordable major housing market during the second quarter of 2011. In New York, 25.2 percent of all homes sold during the quarter were affordable to those earning the area’s median income of $67,400. This marks the 13th consecutive quarter that the New York metropolitan division has held this position.
Other major metro areas near the bottom of the affordability index included San Francisco-San Mateo-Redwood City, Calif.; Santa Ana-Anaheim-Irvine, Calif.; Los Angeles-Long Beach-Glendale, Calif.; and Honolulu, respectively.