California Housing Affordability Update Traditional Housing Affordability Index

California Housing Affordability Update Traditional Housing Affordability Index Q 4 - 2017

Housing Affordability Peaked at Q 1 2012 % OF HOUSEHOLDS THAT CAN BUY A MEDIAN-PRICED HOME California, 1984 -2017 80% Annual Quarterly 70% 60% 56% 50% 40% 30% 20% 10% 0% 84 987 990 993 996 999 002 005 008 011 014 012 013 014 015 016 017 19 1 1 1 2 2 12 42 32 22 2 Q Q Q Q SERIES: Housing Affordability Index of Traditional Buyers SOURCE: CALIFORNIA ASSOCIATION OF REALTORS® 29%

Housing Affordability – Traditional Index California: 2006 -2017 % Of Households That Can Buy A Median-priced Home 60% 50% 40% 29% 30% 20% 10% 0% 6. 1 0 20 6. 3 0 20 7. 1 0 20 7. 3 0 20 8. 1 0 20 8. 3 0 20 9. 1 0 20 9. 3 0 20 SERIES: Housing Affordability Index of Traditional Buyers SOURCE: CALIFORNIA ASSOCIATION OF REALTORS® 0. 1 1 20 0. 3 1 20 1. 1 1 20 1. 3 1 20 2. 1 1 20 . 3. 1. 1. 3. 3. 1 12 013 014 015 016 017 0 2 2 2

Affordability Peak vs. Current HAI Peak vs. Current 80% Q 4 -2017 71% 65% 70% 60% Q 1 -2012 56% 56% 50% 43% 45% 37% 40% 31% 29% 30% 21% 20% 10% 0% US CA SFH CA Condo / Townhomes SERIES: Housing Affordability Index of Existing Detached Homes SOURCE: CALIFORNIA ASSOCIATION OF REALTORS® Los Angeles Metropolitan Area Inland Empire S. F. Bay Area

Minimum Annual Income Required During Affordability Peak vs. Current SERIES: Housing Affordability Index of Existing Detached Homes SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®

Monthly PITI During Affordability Peak vs. Current SERIES: Housing Affordability Index of Existing Detached Homes SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®

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