San Diego surpasses Los Angeles in home unaffordability

San Diego surpasses Los Angeles in home unaffordability

San Diego surpasses Los Angeles in home unaffordability
California continued to dominate the list of the nation’s most unaffordable housing markets according to multiple sources. But one of the surprises from OJO Labs new report is San Diego overtaking Los Angeles in unaffordability as of September.

The report shows that San Diego’s median home sold price rose to $750,000 in September, a 2.4 percent increase over August and 20 percent higher than a year ago. This gives the region an unaffordability score of 8.16, which is the ratio of median home prices to median household income. Los Angele’s unaffordability score came in at 8.11 with median sold home prices declining in September by 0.7 percent to $685,000.

San Francisco and Monterey-Salinas topped the list of the most unaffordable metros in the nation. Unaffordability scores have dipped slightly over the last several weeks as the demand for housing cools and price increases are slowing down.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 2.75 percent and 15-year rates are near 2.00 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.