select markets, it's lower year-over-year as home prices continue to rise while
wages stay mostly stagnant, according to the National Association of REALTORS®’
latest Housing Affordability Index. The index is based on median home prices,
family incomes, and average mortgage interest rates.
The median single-family home price is $189,200, up 9 percent from year-ago levels.
Mortgage rates have also been on the rise, up a full percentage point from
year-ago levels. Meanwhile, income levels have risen 1.9 percent in the past
Affordability is up slightly from a month ago in the Northeast and Midwest, while the West and
South saw a minor drop in February month-over-month, according to NAR’s index.
However, affordability is down in all regions from year-ago levels. The West
has seen the largest decline in affordability in the past year, due to a 17
percent price gain.