Everyone knows San Diego is an expensive housing market. That said, a new survey released by Zillow.com on Friday were stated that San Diego real estate is unaffordable for over half of the population, according to an article from NBC San Diego.
Zillow produced the survey – which they are the most popular mobile application and website. Of the homes presently for sale in San Diego 55.3 percent of them were listed as unaffordable according to the information released from the aforementioned website last month.
Zillow has indicated that 33.6 homes for sale across the United States was unaffordable – then compare and contrast the number with San Diego.
The affordability is projected to get worse for homebuyers, when mortgage interest rates increase together with home values. To continue purchasing surging expensive homes in San Diego, homebuyers will need to put down more money from their income.
Currently, the numbers from Zillow indicates that 32.8 percent of San Diego home buyers are spending the foresaid number from their income to mortgage payments. Per month, that would calculate the payment to sit at about $1,731, according to NBC San Diego.
Through the year over year, if the rates rise to five percent, Zillow expects 38.2 percent of the monthly income for mortgage to be paid by home owners in the San Diego metro. This calculation is the largest it would have ever been.
With the affordability of homes San Diego, other major American metros’ markets had numbers crunched as well.
Zillow found out that everyone is having the same issue with costs. Topping the list for unaffordable is Miami who currently has unaffordable listings ranging up to 62.4 percent, while Los Angeles comes into second at 57.2.
For more information and stats about the affordability of San Diego and other markets, you could click here for Zillow’s complete rundown of their results.
Much of California has issues with the affordable alongside San Diego and Los Angeles. For example, 55.2 percent of the homes for sale are unaffordable in San Francisco, while 50.9 percent of these homes for sale in San Jose were deemed unaffordable. Other markets in the West that had this similar issue were Denver who had 52.8 percent of the homes being unaffordable, as Portland, OR posted its figure at 50.3 percent.