Thursday, December 18, 2008

Affordability in local metro areas

Have you noticed how all the monthly affordability ratios look the same? It seems like the only difference is the scale of the y-axis. I thought it might help to place all the cities on the same chart for a nice comparison.

It’s amazing to think that people were paying 6.5 times their annual income for a home in Bend. The historical ratio is usually between 2.5 and 3.0.

Home prices still have to fall 41% in Bend for it to be affordable but only 10% in Vancouver.