Bay Area Housing Affordability Drops to 1 in 5

August 26, 2014

empty-walletHefty price tags are putting Bay Area homes out of reach for more buyers, with three of our local counties ranking as California’s least affordable in the second quarter.

According to data obtained from the California Association of Realtors, 20 percent of residents across the nine-county region could afford a single-family home, down from 23 percent in the first quarter and 25 percent in the second quarter of 2013.

This closely mirrored second-quarter trends observed across the state, where the amount of residents who could afford a home declined to 30 percent, down from 33 percent in the previous quarter and 36 percent a year earlier.

Marin, San Francisco, and San Mateo were in a three-way tie for the least affordable of the 26 California counties in which CAR provided breakout data, with 14 percent of residents able to purchase a home. Affordability declined from the first quarter 1 percent in Marin and San Francisco counties while holding steady in San Mateo County.