Skip to content

Housing Affordability Index (HAI)

Learning about the Housing Affordability Index (HAI)

In Q2 2022 a median-priced home of $525,000, at an interest rate of 5.875 percent on a 30-year conventional mortgage and a down payment of 5 percent, requires an income to qualify of about $152,703. Overlaying this data point with the Census Median Family income projection of $70,900 for 2021, the buyer(s) of this scenario would be short approximately $81,803 in annual gross income. This roughly translates into a Housing Affordability Index (HAI, referenced in slide 9 of this section) of 46.

Even with a 20% down payment, the income needed for the same purchase was $126,748, leaving the buyer(s) short approximately $55,848 in annual gross income (HAI of 56).

HAI graph
Scroll To Top