Home Affordability Gap Growing: Home prices rose...

Home Affordability Gap Growing: Home prices rose faster than home buyers’ incomes in 1989 for the 14th straight year, a new study concludes. The Chicago Title & Trust Co. said its annual survey of home buyers also revealed that the majority of 1989 home buyers were two-income couples who saved for an average of 2.9 years for a down payment. Nationally, the median home price rose 6.4% to $129,800, while the median household income of 1989 home buyers rose 6.3% to $58,700. Median home prices were highest in San Francisco at $199,900, followed by Los Angeles, $187,500, Orange County, $166,300, and New York City, $166,200.