The Los Angeles region's Housing Affordability Index
was down 1 percentage point from March and 4 percentage points from the same period a year ago, according to a report released by the California Association of Realtors.
There are now eight MSAs with Affordability Index
scores below 70, which PMI considers a threshold for vulnerability to an economic shock, compared to just two MSAs last quarter.
An Affordability Index
score exceeding 100 indicates that homes have become more affordable; a score below 100 means they are less affordable.
The median housing price soared in the first quarter to $195,200, which dropped the county's affordability index
to 37 percent.
The increases in closed sales coincide with the rise in the affordability index
reported by the California Association of REALTORS(R).
During March, the California Association of Realtors' Housing Affordability Index
fell an annual 3 percentage points, slipping 1 percentage point from February, said the CAR.
The most recent figures available from the National Association of Realtors put the composite affordability index
at approximately 115.
PMI's proprietary Affordability Index
measures today's housing affordability in a given MSA relative to its 1995 baseline.
Statewide, just 19 percent of residents could afford a median-price home in December 2004, a four-point decrease over last year, according to the California Association of Realtors' affordability index
The National Association of Realtors' composite Housing Affordability Index
was up slightly during the fourth quarter of 2004.
2 weeks of median family income in the fourth quarter, according to the Auto Affordability Index
compiled by Detroit-based Comerica Bank.
Los Angeles County's affordability index
remained at 17 percent in November, when the median price was $474,570.