The California Association of REALTORS® have released the affordability numbers for the state of California and among them is the very expensive bay area and Santa Clara County is among them. Here is what they found.
- In Santa Clara County only 37% of the population can afford to buy a home at the $545,000 median range.
- The required take home to purchase is $117,630.
- Your monthly payment will be around $2,940.
The Chart below shows the cost of home ownership in California.
The California Association of REALTORS latest report tracks entry level housing requirements for the state of California over the second quarter of 2010. Santa Clara County has slipped slightly in the affordability index from 55% in Q1 2010 to 51% in Q2 2010.
The report also tracks income requirements for entry level housing and monthly principal, interest, taxes, and insurance (PITI) payments a buyer should budget towards housing. A first time home buyer would need to make a PITI payment of $2,940. This is taking into account a Santa Clara County median purchase price of $535,500.
Read report here
The very first question most home-buyers ask is “How much do I have to earn to buy a home in Santa Clara County?”. The answer may be found in the California Association of REALTORS 2009 Fourth Quarter Housing Affordability Index report.
- 52% of Santa Clara County residents currently qualify based on current housing prices and personal incomes.
- The Chart below shows that you have to bring home a combined total of $85,200 in order to make an average payment of $2,840(taxes and insurance included).
- Based on this criteria you should be able to purchase a home on an average sales price of $497,250.
There are more affordable homes in Santa Clara County and as such you can qualify for less. Consult your banks loan officer or mortgage broker to pre-qualify yourself.
Click here to read C.A.R.’s full report
“Quick Facts:
· C.A.R. First-time Buyer Housing Affordability Index stood at 67 percent in the second quarter of 2009 compared with 49 percent (revised) in the second quarter of 2008
· The median price of an entry-level home in California was $224,180 in the second quarter of 2009
· The estimated monthly payment including taxes and insurance was $1,330 in the second quarter of 2009
· The minimum household income needed to purchase an entry-level home in California in the second quarter of 2009 was $39,930″
California Association of REALTORS most recent data shows affordability is at at an all time high. It’s no wonder buyers are opting to own for the cost of renting.
Read Article here:
An interesting new statistic was recently released by the California Association of REALTORS showing Santa Clara County affordability index has climbed from 24% to 49%. Yet another indication that REO(bank owned properties) and Short Sales are making home ownership in Silicon Valley a legitimate option. Take a look at the C.A.R. chart below.
| C.A.R. Region |
Housing
Affordability Index |
Entry-Level Price
|
Monthly Payment Including Taxes & Insurance
|
Minimum
Qualifying Income |
|
California
|
59
|
$248,030
|
$1,630
|
$48,900
|
|
California – Condos
|
65
|
$210,830
|
$1,380
|
$41,400
|
|
United States
|
72
|
$153,090
|
$1,000
|
$30,000
|
| High Desert |
76
|
$125,080
|
$820
|
$24,600
|
| Los Angeles County |
46
|
$301,110
|
$1,970
|
$59,100
|
| Monterey Region |
58
|
$265,700
|
$1,740
|
$52,200
|
| Northern California |
56
|
$241,410
|
$1,580
|
$47,400
|
| Northern Wine Country |
53
|
$300,890
|
$1,970
|
$59,100
|
| Orange County |
48
|
$395,100
|
$2,590
|
$77,700
|
| Palm Sprgs/Lwr Desert |
65
|
$159,310
|
$1,040
|
$31,200
|
| Riverside/SBernardino |
70
|
$171,060
|
$1,120
|
$33,600
|
| Sacramento County |
74
|
$159,750
|
$1,050
|
$31,500
|
| San Diego County |
56
|
$282,910
|
$1,860
|
$55,800
|
| San Francisco Bay |
47
|
$414,070
|
$2,720
|
$81,600
|
| San Luis Obispo County |
44
|
$317,330
|
$2,080
|
$62,400
|
| Santa Barbara Area |
55
|
$269,380
|
$1,770
|
$53,100
|
|
Santa Clara County
|
49
|
$446,250
|
$2,930
|
$87,900
|
| Southern California |
58
|
$248,380
|
$1,630
|
$48,900
|
| Ventura County |
58
|
$333,480
|
$2,190
|
$65,700
|
| County |
\ |
\ |
\ |
\ |
| Alameda |
48
|
$369,050
|
$2,420
|
$72,600
|
| Contra Costa |
35
|
$540,050
|
$3,540
|
$106,200
|
| Fresno |
70
|
$140,000
|
$920
|
$27,600
|
| Marin |
29
|
$709,420
|
$4,650
|
$139,500
|
| Merced |
79
|
$101,850
|
$670
|
$20,100
|
| Riverside |
71
|
$168,640
|
$1,110
|
$33,300
|
| San Bernardino |
70
|
$166,540
|
$1,090
|
$32,700
|
| San Francisco |
30
|
$570,660
|
$3,740
|
$112,200
|
| San Mateo |
37
|
$559,300
|
$3,670
|
$110,100
|
| Santa Cruz |
43
|
$391,000
|
$2,560
|
$76,800
|
| Sonoma |
56
|
$295,600
|
$1,940
|
$58,200
|
Source: California Association of REALTORS
Methodology of First Time Homebuyers Data
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