Forbes.com - Affordable Austin!

Posted on November 12, 2007

It seems that every week there is another news headline pointing out the doom and gloom in the real estate industry. Despite that fact, homes are still being bought and sold every day. In most markets, prices have fallen - although that still does not mean that those prices are affordable for the “average” homebuyer. But there is some good news, especially in markets where housing is considered affordable.

“Affordable markets are in a better position for a strong recovery, because more buyers can come in once prices fall,” says Mark Zandi, chief economist at Moody’s Economy.com.

Forbes.com recently ran an article naming the Top 10 most affordable cities, and both Austin and Dallas made the top ten. The primary method of calculation was the ration of median home price (Austin $176,200) to the median household salary ($65,739). By taking 176,200/65,739 we say that it would take over 2.5 years of gross salary to buy a home. Compare that to a market like LA where the median price of a home is around $600,00 but the median income is only $58k!

For the complete article visit this link.

» Filed Under Austin Real Estate

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