SEPTEMBER HOUSING AFFORDABILITY

The ability of Californians to afford a home rose sharply in September thanks to favorable interest rates and lower home prices in many areas of the state, the California Assn. of Realtors reported.

Statewide, 20% of households earned the income needed to qualify for a mortgage loan to purchase the median-priced, existing, single-family home, up from 18% in June and 16% in September, 1989.

Assuming a 20% down payment on that home, which sold for $190,350 in September, a household needed a minimum annual income of $62,211--about $3,350 less than the income required a year ago. The monthly mortgage payment, including property taxes and insurance, would be $1,555 for a home at the September price.

Median Monthly Minimum Home Sales Housing Qualifying % Qual- Price Payment Ann. Income ifying United States $94,300 $770 $30,819 49% California (single-family) 190,350 1,555 62,211 20 California (condo) 141,080 1,153 46,108 34 Los Angeles 205,000 1,675 66,999 18 Orange County 240,280 1,963 78,529 16 Riverside-San Bernardino 129,740 1,060 42,402 32 Sacramento 139,500 1,140 45,592 30 San Diego 186,900 1,527 61,083 19 San Francisco Bay 250,620 2,048 81,908 13 Ventura 241,290 1,971 78,859 12

Source: California Assn. of Realtors