C.A.R. Survey Reveals California Households Fall $70,480 Short in Income Needed to Purchase Home; Income Gap in San Francisco Bay Area at $102,230.LOS ANGELES Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. -- California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). households, with a median household income The median household income is commonly used to provide data about geographic areas and divides households into two equal segments with the first half of households earning less than the median household income and the other half earning more. of $53,840, are $70,480 short of the $124,320 qualifying income needed to purchase a median-priced home at $530,430 in California, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the California Association of REALTORS(R) (C.A.R.) Homebuyer home·buy·er n. One who is in the process of buying a home. Income Gap Index(TM) (HIGI Noun 1. Higi - a Chadic language spoken south of Lake Chad Kapsiki Biu-Mandara - a group of Chadic languages spoken in the border area between Cameroon and Nigeria south of Lake Chad ) report for the second quarter of 2005, released today. The Association's Homebuyer Income Gap Index(TM) is a quarterly analysis of the difference between the median household income and the qualifying income needed to purchase a median-priced, single-family home for the state and for select regions within the state. The HIGI is calculated with the same assumptions used to generate C.A.R.'s monthly Housing Affordability Index (HAI HAI Health Action International HAI Healthcare-Associated Infections HAI Helicopter Association International HAI Hospital Acquired Infection HAI Hemagglutination Inhibition (Immune assay type, microbiology) ): a 20 percent downpayment and a monthly payment for principal, interest, taxes and insurance that is no more than 30 percent of a household's income. The Homebuyer Income Gap Index(TM) for California increased 28.3 percent during the second quarter of 2005 compared to the second quarter of 2004, when the gap stood at $54,920, the median household income was $52,630, and qualifying income needed to purchase a median-priced home at $461,280 was $107,550. According to the report, potential homebuyers in the Central Valley, with a median household income of $41,250, had the smallest income gap at $39,450, and needed a qualifying income of $80,700 to purchase a median-priced home at $344,330. The San Francisco Bay Area “Bay Area” redirects here. For other uses, see Bay Area (disambiguation). The San Francisco Bay Area, colloquially known as the Bay Area or The Bay had the highest gap in the state at $102,230, where potential homebuyers had a median household income of $68,140 but needed a qualifying income of $170,370 to purchase a median-priced home at $726,920. Leading the Way...(R) in California real estate for 100 years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time California Association of REALTORS(R) (www.car.org) is one of the largest state trade organizations in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , with more than 165,000 members dedicated to the advancement of professionalism professionalism the upholding by individuals of the principles, laws, ethics and conventions of their profession. in real estate. C.A.R. is headquartered in Los Angeles.
Homebuyer Income Gap Index(TM)
Median Median
Home Household PITI Qualifying Income
Area Price Income Payment Income Gap
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Q2 2005
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California $530,430 $53,840 $3,110 $124,320 ($70,480)
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California - Condos $421,100 $53,840 $2,470 $98,690 ($44,860)
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Central Valley $344,330 $41,250 $2,020 $80,700 ($39,450)
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San Francisco Bay Area $726,920 $68,140 $4,260 $170,370 ($102,230)
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Southern California $510,000 $52,310 $2,990 $119,530 ($67,220)
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Q2 2004
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California $461,280 $52,630 $2,690 $107,550 ($54,920)r
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California - Condos $364,690 $52,630 $2,130 $85,030 ($32,400)r
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Central Valley $271,210 $40,440 $1,580 $63,230 ($22,790)r
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San Francisco Bay Area $647,310 $69,120 $3,770 $150,920 ($81,800)r
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Southern California $457,400 $51,250 $2,670 $106,640 ($55,390)r
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Today's release also is available on C.A.R. Online at http://car.org/index.php?id=MzUyNzE=. |
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