A lot of people are moving out of California because they can't afford to live there anymore.
For every home buyer coming into the state. there are (3) Californians selling & moving elsewhere, according to data analysis from CoreLogic.
"The middle & lower middle can no longer afford to live in California."
California housing market is one of the most expensive in the nation, currently the median priced home is $515,940. The (5) most expensive housing market in the country, (4) are located in California. San Luis Obispo County median priced home is even higher at $574,930. Prices of homes shot up 71% since 2011. Nationally, the median priced home is a mere $234,200.
To help make life more affordable, residents are trading the beaches and nice weather for states with more affordable housing markets and lower costs of living. Places like Arizona, Texas & Nevada.
Last year people moving out of California sold their homes for an average of $495,000 and only spent $315,000 in their new an often larger houses.
Affordable housing, is housing for which occupants pay no more than (30%) of their income for a mortgage payment or rent. Those who spend more than that on rent or a mortgage are considered "cost burdened".
According to the California Association of Realtors (CAR). 31% of California households could afford to purchase the $515,940 median priced home in California.
Minimum annual income of $100,290 was needed to make monthly payments of $2,510 including principal, interest & taxes on a 30-year fixed-rate mortgage at 3.76%.
Most affordable California counties are : Kings 57% of the residents can afford to buy the median priced home, Kern (56%), San Bernardino (55%), Fresno & Merced both at (50%).
Least affordable California counties: San Francisco (14%), San Mateo (15%) & Marin (19%).
Median priced home in San Luis Obispo County is $574,930. With a 20% down payment, monthly payment including tax & insurance $2,790. Minimum qualifying income $111,750. 25% of San Luis Obispo County households can afford to purchase the median priced home.