Created Monday, 17 November 2008 08:57
Texas Still Good value for homebuyers
COLLEGE STATION (Real Estate Center) – Texas continues to be a better value than the rest of the country when it comes to buying a home, according to the latest Housing Affordability Index (HAI) numbers.
Texas finished second quarter 2008 with an HAI of 1.55. The United States’ HAI was 1.27.
The index is the ratio of median family income to the income required to qualify for an 80 percent, fixed-rate mortgage to purchase the median-priced home.
“Nationally, housing affordability has improved considerably as the overall median home price continues to descend from its record high in mid-2006,” said Dr. Jim Gaines, research economist with the Real Estate Center at Texas A&M University. “As the HAI figure suggests, Texas remains even more affordable despite the fact that home prices in the state increased modestly during the first half of the year.”