Median House Still Available Only to 14%

For the third consecutive month, only one in seven Orange County households--or 14%--could afford to buy the county’s median-priced house in September.

For the two months before that--May and June--the percentage was even lower, 13%.

In fact, the California Assn. of Realtors reported Wednesday, the percentage hasn’t risen above 16% all year. That’s because housing prices in the county are among the highest in the nation and still rising.

Last year, when prices were a little lower, was better. On the average over the year, 20% of households could afford the median-priced house, which carried a price tag of $211,402.

But at September’s median price of $250,885, a household needed a minimum annual income of $82,648 to meet the monthly payments of $2,066, an amount only one in seven households can afford.

In estimating the figures, the trade association assumes a 20% down payment and includes property taxes and insurance in the monthly mortgage payment.

The survey does not include condominiums, which are generally less expensive than detached houses. It also excludes new homes, which generally are more expensive than older homes.

The statewide picture wasn’t much brighter than Orange County’s in September. Only 18% of households across the state could afford a house at the median price of $199,606. To make the monthly payments of $1,644 would take an annual income of $65,756, the trade association estimated.

Orange County was by no means the least affordable of the state’s urban areas. As in Orange County, only 14% of Los Angeles County residents could afford the median house, which cost $221,954.

AFFORDABILITY INDEX FOR EXISTING HOMES

Fourteen percent of Orange County households could afford to buy the median-priced resale home in the county in September, unchanged from August and contrasted with 18% in September, 1988.

MEDIAN MONTHLY SELLING PRICE MORTGAGE PAYMENT Sept. Aug. Sept. Sept. Aug. Sept. 1989 1989 1988 1989 1989 1988 Orange County $250,885 $247,641 $228,053 $2,066 $2,038 $1,770 United States 93,400 94,800 88,500 769 780 687 California 199,606 201,138 177,107 1,644 1,655 1,374 S.F. Bay Area 266,085 272,016 221,148 2,191 2,239 1,716 Los Angeles 221,954 229,529 191,242 1,828 1,889 1,484 San Diego 176,852 182,476 153,615 1,456 1,502 1,192 Riverside/ 130,036 129,111 113,885 1,071 1,063 884 San Bernardino

MINIMUM PERCENT ANNUAL INCOME QUALIFIED Sept. Aug. Sept. Sept. Aug. Sept. 1989 1989 1988 1989 1989 1988 Orange County $82,648 $81,521 $70,791 14 14 18 United States 30,769 31,207 27,472 46 45 49 California 65,756 66,213 54,977 18 17 22 S.F. Bay Area 87,656 89,545 68,648 10 10 17 Los Angeles 73,118 75,559 59,365 14 12 20 San Diego 58,260 60,069 47,685 19 18 24 Riverside/ 42,837 42,502 35,352 29 29 35 San Bernardino

Source: California Assn. of Realtors