San Jose Mercury News reporter Richard Scheinin details why Oakland, Calif., is a tough place for starter-home buyers, according to a Trulia report that has been parsed and reported on in articles in numerous metro areas, several of which have been previously posted on Builder Pulse.
A new Trulia report on the 100 largest U.S. metro areas, Oakland is as bad as it gets when it comes to buying a starter home. The rest of the top five, in order, are Los Angeles, San Jose, San Francisco, and Sacramento, Scheinin writes.
Trulia reports that of the 100 largest metro areas in the U.S., 95 have shown a decrease in the number of starter homes since 2012.
In the Oakland area—where the tech boom has spread, driving up prices—the typical buyer of a starter home would have to spend 69% of household income to afford a 30-year fixed mortgage, with 20% down. That's 29% more of the income than would have been needed in 2012. The median price of a starter home in the Oakland area is $374,000, according to the report.