First-time home buyers face biggest challenges in Calif.

First-time home buyers face biggest challenges in Calif.

First-time home buyers face biggest challenges in Calif.
In an analysis by NerdWallet, five of the most challenging places in the U.S. to buy a home are in the Golden State. By following a long-standing gauge of home affordability which states that buyers should be able to purchase a home that is listed at up to three times their annual income, NerdWallet was able to determine that California’s housing market is well beyond affordable.

Los Angeles County topped the list at most unaffordable with homes averaging 12.1 times the median first-time buyer income. This was followed by San Diego (8.6), San Jose (7.9), San Francisco (7.4) and Sacrament (6.8).

On the other end of the spectrum was Pittsburgh where homes were typically listed at just 3.3 times the median first-time buyer income.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 2.875 percent and 15-year rates are near 2.375 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.