Home Affordability Remains Strong

According to NAR chief economist Lawrence Yun, the housing market has clawed its way back to a point of near stability, with the pace of new foreclosures easing, sales moving toward historically normal levels, and prices on a national basis gaining modestly.

At the same time, affordability remains strong. He said all of the price excesses from the housing bubble have been squeezed out. In San Diego, for example, buyers today would pay $1,564 a month in mortgage payments for a house that at the height of the boom would have cost them $2,833 a month.

Source: REALTOR Magazine