LOS ANGELES, Sept. 11 /PRNewswire/ -- The percentage of households in
California able to afford a median-priced home stood at 26 percent in July, a
2 percent decrease compared to the same period a year ago when the Index was
at 28 percent, according to a report released today by the California
Association of REALTORS(R) (C.A.R.).  The July Housing Affordability Index
(HAI) declined by 1 percentage point from June when it stood at 27 points.
    The minimum household income needed to purchase a median-priced home at
$383,320 in California in July was $86,440, based on a typical 30-year,
fixed-rate mortgage at 5.39 percent and assuming a 20 percent downpayment.
The minimum household income needed to purchase a median-priced home was up
from $80,260 in July 2002, when the median price of a home was $321,900 and
the prevailing interest rate was 6.55 percent.
    At 63 percent, the High Desert was the most affordable region in the
state, followed by Sacramento at 42 percent.  The Santa Barbara Region was the
least affordable region in the state at 14 percent.
    C.A.R.'s monthly housing affordability index measures the percentage of
households that can afford to purchase a median-priced home in California.
C.A.R. also reports housing affordability indexes for regions and select
counties within the state.  The index is the most fundamental measure of
housing well-being in the state.
    C.A.R.'s August 2003 sales and median price report for the state and
regions within the state will be released on Sept. 25.

    The California Association of REALTORS(R) ( http://www.car.org ) is one of
the largest state trade organizations in the United States, with more than
130,000 members dedicated to the advancement of professionalism in real
estate.  C.A.R. is headquartered in Los Angeles.

     CALIFORNIA HOUSING AFFORDABILITY INDEX *

                                     Jul-03          Jun-03         Jul-02
    California                           26              27            28
    California - Condos                  40              40            40  r
    United States                        56              57            56  r
    C.A.R. REGION
    Central Valley                       37              38            40
    High Desert                          63              63            66
    Los Angeles                          26              28            31
    Monterey                           n.a.              17            16
    Northern California                  30              30            34
    Northern Wine Country                17              16            18
    Orange County                        21              22            22
    Palm Sprgs/Lwr Desert                21              20            24
    Riverside/SBernardino                36              38            43
    Sacramento                           42              41 r          43
    San Diego                            19              20            20
    San Francisco Bay Area             n.a.              19            18
    San Luis Obispo                      19              20            23
    Santa Barbara                        14              22            17  r
    Santa Clara                        n.a.              26            22
    Ventura                              27              27            28
    COUNTY
    Alameda                              20              20            18
    Contra Costa                         13              12            10
    Fresno                               42              43            47
    Kern                                 53              54            59
    Marin                                18              18            16
    Merced                               33              33            38
    Riverside                            33              33            38
    San Bernardino                       45              46            51
    San Francisco                        12              12            13
    San Joaquin                          31              32            32
    San Mateo                          n.a.              17            17
    Santa Cruz                         n.a.              18            16  r
    Sonoma                               17              16            18
    Stanislaus                           37              38            40

     * -- percentage of California households that can afford to purchase a
          median-priced home

     r - revised

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