Housing affordability climbs to highest level in 20 years
11/24/2010
By Credit.com Staff
Consumers eager to enter the housing market may benefit from record-low mortgage rates, which continue to drop to their lowest levels in nearly 20 years. Data from the National Association of Home Builders/Wells Fargo Housing Opportunity Index reveal more than 72 percent of new and existing homes sold during the third quarter were affordable to consumers bringing in an annual median income of $64,400.
"With interest rates remaining at historically low levels, and house prices starting to stabilize, homeownership is within reach of more households than it has been for almost 20 years," said NAHB chairman Bob Jones.
Indianapolis, Indiana, is currently the most affordable housing market in the U.S., in addition to Dayton, Ohio, and Wichita, Kansas. New York - White Plains - Wayne, N.Y.-N.J., is the least affordable market in the country.
Although mortgage loan rates remain low, consumers should ensure their credit scores meet the minimum eligibility guidelines before submitting an application. Consumers may also determine whether they qualify for low FHA-backed loans by meeting with their local bank or lenders.
