SAN BERNARDINO COUNTY – The California Association of Realtors (CAR) published, Friday, their Housing Affordability Index (HAI) report noting that the minimum income needed to purchase a home in San Bernardino County is $127,200 – with an average monthly payment of $3,180.
CAR says housing affordability is now at its lowest point since 2007.
According to the report housing affordability has decreased for the second consecutive quarter due to interest rates over 7% and rising home prices. This means it has become more challenging for people to afford homes in the state.
15% of Californians could afford $843,600 median home price
CAR’s HAI measures the percentage of all households that can afford to purchase a median-priced, single-family home in California.
The report found that 15% of California households could afford to purchase the $843,600 median-priced home in the third quarter of 2023, down from 16% in second-quarter 2023.
In addition, a minimum annual income of $221,200 was needed to make monthly payments of $5,530, including principal, interest and taxes on a 30-year fixed-rate mortgage at a 7.14% interest rate.
3rd Quarter 2023 CAR Housing Affordability Index
| STATE/REGION/COUNTY | Qtr. 3 2023 | Qtr. 2 2023 | Qtr. 3 2022 | Median Home Price | Monthly Payment Including Taxes & Insurance | Minimum Qualifying Income |
| Calif. Single-family home | 15 | 16 | 18 | $843,600 | $5,530 | $221,200 |
| Calif. Condo/Townhome | 23 | 25 | 28 | $650,000 | $4,260 | $170,400 |
| Los Angeles Metro Area | 14 | 17 | 19 | $789,000 | $5,170 | $206,800 |
| Inland Empire | 20 | 22 | 25 | $565,000 | $3,700 | $148,000 |
| San Francisco Bay Area | 19 | 19 | 20 | $1,275,000 | $8,350 | $334,000 |
| San Francisco Bay Area | ||||||
| Alameda | 16 | 16 | 17 | $1,275,000 | $8,350 | $334,000 |
| Contra Costa | 22 | 23 | 26 | $870,000 | $5,700 | $228,000 |
| Marin | 18 | 16 | 18 | $1,590,000 | $10,150 | $416,400 |
| Napa | 15 | 19 | 14 | $942,500 | $6,170 | $246,800 |
| San Francisco | 21 | 20 | 20 | $1,550,000 | $10,150 | $406,000 |
| San Mateo | 17 | 17 | 19 | $1,970,000 | $12,900 | $516,000 |
| Santa Clara | 17 | 18 | 20 | $1,850,000 | $12,120 | $484,800 |
| Solano | 24 | 26 | 29 | $595,000 | $3,900 | $156,000 |
| Sonoma | 15 | 16 | 19 | $850,000 | $5,570 | $222,800 |
| Southern California | ||||||
| Los Angeles | 11 | 15 | 14 | $897,610 | $5,880 | $235,200 |
| Orange | 11 | 12 | 13 | $1,305,000 | $8,550 | $342,000 |
| Riverside | 19 | 20 | 23 | $610,000 | $4,000 | $160,000 |
| San Bernardino | 25 | 30 | 31 | $485,000 | $3,180 | $127,200 |
| San Diego | 11 | 13 | 15 | $978,500 | $6,410 | $256,400 |
| Ventura | 13 | 14 | 17 | $925,000 | $6,060 | $242,400 |
| Central Coast | ||||||
| Monterey | 9 | 12 | 13 | $918,000 | $6,010 | $240,400 |
| San Luis Obispo | 10 | 11 | 13 | $865,000 | $5,670 | $226,800 |
| Santa Barbara | 10 | 10 | 12 | $1,090,000 | $7,140 | $285,600 |
| Santa Cruz | 13 | 13 | 14 | $1,243,500 | $8,140 | $325,600 |
| Central Valley | ||||||
| Fresno | 27 | 29 | 32 | $420,000 | $2,750 | $110,000 |
| Glenn | 30 | 32 | 34 | $355,000 | $2,330 | $93,200 |
| Kern | 28 | 31 | 34 | $390,000 | $2,550 | $102,000 |
| Kings | 27 | 32 | 40 | $380,000 | $2,490 | $99,600 |
| Madera | 29 | 31 | 34 | $425,000 | $2,780 | $111,200 |
| Merced | 30 | 31 | 34 | $386,000 | $2,530 | $101,200 |
| Placer | 27 | 29 | 30 | $665,000 | $4,360 | $174,400 |
| Sacramento | 23 | 26 | 29 | $542,000 | $3,550 | $142,000 |
| San Benito | 16 | 19 | 20 | $753,750 | $4,940 | $197,600 |
| San Joaquin | 23 | 26 | 27 | $545,000 | $3,570 | $142,800 |
| Stanislaus | 24 | 27 | 30 | $468,100 | $3,070 | $122,800 |
| Tulare | 30 | 33 | 36 | $375,000 | $2,460 | $98,400 |
| Far North | ||||||
| Butte | 28 | 29 | 30 | $430,710 | $2,820 | $112,800 |
| Lassen | 58 | 52 | 56 | $212,500 | $1,390 | $55,600 |
| Plumas | 31 | 38 | 28 | $409,500 | $2,680 | $107,200 |
| Shasta | 35 | 35 | 39 | $379,250 | $2,480 | $99,200 |
| Siskiyou | 34 | 39 | 31 | $300,000 | $1,960 | $78,400 |
| Tehama | 39 | 35 | 39 | $315,000 | $2,060 | $82,400 |
| Other Calif. Counties | ||||||
| Amador | 26 | 28 | 34 | $460,000 | $3,010 | $120,400 |
| Calaveras | 27 | 27 | 32 | $483,000 | $3,160 | $126,400 |
| Del Norte | 28 | 30 | 27 | $377,500 | $2,470 | $98,800 |
| El Dorado | 23 | 23 | 27 | $665,000 | $4,360 | $174,400 |
| Humboldt | 23 | 25 | 23 | $437,500 | $2,870 | $114,800 |
| Lake | 30 | 28 | 33 | $320,000 | $2,100 | $84,000 |
| Mariposa | 16 | 24 | 21 | $464,500 | $3,040 | $121,600 |
| Mendocino | 15 | 17 | 18 | $527,500 | $3,460 | $138,400 |
| Mono | 5 | 5 | 8 | $940,000 | $6,160 | $246,400 |
| Nevada | 23 | 25 | 25 | $563,150 | $3,690 | $147,600 |
| Sutter | 31 | 33 | 32 | $425,000 | $2,780 | $111,200 |
| Tuolumne | 31 | 32 | 35 | $415,000 | $2,720 | $162,400 |
| Yolo | 23 | 23 | 25 | $620,000 | $4,060 | $162,400 |
| Yuba | 26 | 26 | 29 | $426,950 | $2,800 | $112,000 |
California compared to nationwide affordability
The CAR report says more than a third of the nation’s households could afford to purchase a $406,900 median-priced home, which required a minimum annual income of $106,800 to make monthly payments of $2,670.
Mortgage rates in 2024
Housing market authorities predict mortgage rates will remain where they are – 7% to 8% in the coming months.
According to CNET, economic data shows signs of progress in the fight against inflation, however, the Federal Reserve won’t consider cutting rates until it feels confident that inflation is steady at its target annual rate of 2%. It might not be until mid-2024 when mortgage rates move closer to 6%.
 published, Friday, their Housing Affordability Index (HAI) report noting that the minimum income needed to purchase a home in San Bernardino County is $127,200 – with an average monthly payment of $3,180.){kind=link}