Tag Archive for ‘housing affordability’

Housing Affordability Slightly Lower in Third Quarter

Firming home prices in markets across the country contributed to a slight dip in nationwide housing affordability in the third quarter of 2014, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI). In all, 61.8 percent of new and existing homes sold between the beginning of July and the end of September were affordable to families… Read More ›

Affordability Pyramid Shows Housing Market is Bottom Heavy

With the release of the 2014 Priced Out estimates, NAHB Economics revised its affordability pyramid that translates U.S. household income data into a distribution of homes that households can afford by price range. At the base of the market for housing is a large number of households with relatively modest incomes. The homes that these households can afford are also relatively… Read More ›

NAHB Releases New “Priced Out” Numbers

NAHB Economics recently released its 2014 Priced Out Estimates showing that, nationally, a $1,000 increase in the median new home price (triggered, for example, by additional regulation) prices 206,269 households out of the market for the home. This means that 206,269 U.S. households could qualify for a mortgage on the median-priced new home before, but not after, the price increase…. Read More ›

Housing Affordability Increases at Year-End 2012

Exceptionally low interest rates helped ensure a slight gain in nationwide housing affordability amid relatively stable house prices in the final quarter of 2012. The NAHB/Wells Fargo Housing Opportunity Index (HOI) rose to 74.9 percent, up from 74.1 percent in the third quarter. The HOI is the share of new and existing homes sold in a quarter affordable to a… Read More ›

Affordability Pyramid Shows Most Americans Only Qualify for Lower-Priced Homes

The Census Bureau’s American Community Survey (ACS) provides detailed data on the income distribution of US households. The NAHB Priced Out Model translates the income data into the distribution of homes that US households can afford and allows generating the Housing Affordability Pyramid. The pyramid shows how many households in the United States can afford homes in various price ranges. At the… Read More ›