If you are like most Californians, it’s too much.
According to an article in the Orange County Register, about 2.7 million owners and renters in California pay nearly half of their income for housing. The data comes from the U.S. Census Bureau’s 2000 census and 2008-2010 American Community Survey.
The article tells several stories of people who are pushing themselves to the limit financially in order to afford housing in California. Unfortunately, when almost half of your income goes towards housing there isn’t much left for other things – like food, clothing, and saving.
It is true that housing has become more affordable in the last few years that it was, say, 5-7 years ago, the fact remains that Californians are still having a difficult time making ends meet. This is the shackle that will prevent California from truly reaching its potential, and unless housing affordability improves dramatically, California will continue to struggle.
Want to see what people are spending on housing in your neck of the woods? Check out this interactive map to find out.
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