One of the upsides of a real estate correction like the one we are seeing is that for those that are in the market to buy a home, they have become far more affordable in recent years. Couple that with low interest rates and we are seeing a buying opportunity that has rarely, if ever, been present in our lifetimes.
A Housing Affordability Index of 100 represents the ability of a median income family to afford a median priced home. As the index goes up, affordability increases. The current national index sits at 192.3 for February, 2011 (there is a two month lag time for the data).
Click here to see the Index and chart for the last few years...