Fourth-quarter 2025 Housing Affordability Report
- Feb 12
- 1 min read
California housing affordability improves from third-quarter 2025 and a year ago, C.A.R. reports
Eighteen percent of California households could afford to purchase the $869,300 median-priced home in the fourth quarter of 2025, up from 17 percent in third-quarter 2025 and up from 16 percent in fourth-quarter 2024.
A minimum annual income of $213,200 was needed to make monthly payments of $5,330, including principal, interest, taxes and insurance on a 30-year fixed-rate mortgage at a 6.35 percent interest rate.
Twenty-eight percent of home buyers were able to purchase the $650,000 median-priced condo or townhome. A minimum annual income of $159,200 was required to make a monthly payment of $3,980.
For full report, visit on.car.org/Q42025HAIrelease
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