| The price of housing is a major challenge in the | | | | Youngstown-Warren-Boardman (Ohio-Pennsylvania); |
| United States. Some estimates note that more than | | | | Detroit-Livonia-Dearborn (Michigan); Buffalo-Niagara |
| 50% of the population cannot afford a median priced | | | | Falls (New York); and Grand Rapids and Wyoming |
| home. According to National Association of Home | | | | (Michigan). |
| Builders (NAHB), of the total number of new and | | | | The report also lists the top seven smaller cities in |
| existing homes sold nationwide during the third | | | | America that have the most affordable housing |
| quarter, only 40.4 percent were affordable for | | | | markets. These are: Bay City in Michigan, Springfield in |
| families earning the median U.S. income of $59,600. | | | | Ohio, Mansfield in Ohio, Lansing-East Lansing in |
| But it is good news that housing affordability on the | | | | Michigan, Lima in Ohio, Battle Creek in Michigan and |
| national level has not changed much in the third | | | | Canton-Massillon in Ohio. |
| quarter in spite of a rise in the mortgage interest | | | | For both major metros and small metros, many of |
| rates during the last quarter. This was because many | | | | the least affordable cities are located in California. |
| markets saw a slight decrease in their home prices, | | | | The least affordable major metro areas are Santa |
| which helped offset the rise in mortgage rates. | | | | Ana-Anaheim-Irvine, Modesto, Stockton, and San |
| Indianapolis (Indiana) is the most affordable city for | | | | Diego-Carlsbad-San Marcos, in that order. The least |
| homes in America, based on the 2006 third quarter | | | | affordable smaller metros (less than 500,000 people) |
| report of the National Association of Home Builders | | | | include: Salinas, Merced, Madera, Napa, and Santa |
| Wells Fargo Housing Opportunity Index (HOI). The | | | | Barbara-Santa Maria. |
| city achieved this status for the fifth consecutive | | | | The good news for homebuyers is that there are |
| quarter. | | | | many affordable cities in the United States. |
| Of the total number of housing units sold in | | | | Moreover, even for cities that rated poorly for |
| Indianapolis during the third quarter, 86 percent of | | | | affordability, there may be some communities within |
| homes were priced at or below the U.S. median | | | | the larger city that have affordable housing. For |
| household income of $65,100. Homes in this metro | | | | example, although the San Diego metro in California |
| area had a median sales price of $122,000, which is | | | | rated poorly overall for affordability, there are some |
| slightly higher from $120,000 of the previous quarter. | | | | communities in San Diego priced to meet the needs |
| It is interesting to note that the most affordable U.S. | | | | of lower-income home buyers. A good real estate |
| cities for homes, condos and other real estate are | | | | agent can help you choose a community where you |
| largely from the northern industrial metro areas. The | | | | want to live based on your housing budget and |
| other larger cities that top the list for affordable | | | | needs. |
| homes in the third quarter after Indianapolis are | | | | |