real estate terms, real estate terminology, real estate dictionary, commercial real estate terms, real estate definitions, real estate glossary, glossary of commercial real estate, commercial real estate terminology, real estate term glossary, glossary of

Property for Sale

•	Home
•	Browse Listings
•	List Property
•	Listing Benefits
•	Find Foreclosures
•	Mailing List
•	Property Wanted
•	Advertising

Real Estate Tools

•	Investing Guides
•	Investing Articles
•	Real Estate Forums
•	Real Estate Tips
•	Real Estate FAQs
•	Real Estate Terms
•	Calculator
•	Real Estate Forms
•	Mailing List
•	Affiliate Program
•	Links
•	Contact Us

Real Estate Dictionary

Real Estate Term: AFFORDABILITY INDEX

AFFORDABILITY INDEX - a measurement of housing affordability compiled by the National Association of Realtors® and other groups. The intent is to measure the ability of area residents to buy homes in the area. A typical index compares median income to the income required by lenders for a loan large enough to buy a median-priced home. A median income higher than required is interpreted as an affordable condition, and the index will be greater than 100 or 1.00, depending on how it is expressed. Values below 100 or 1.00 signal unaffordable conditions. Indexes are available for various geographic regions, as well as specialized indexes for first-time buyers.

Home • Courses • Contact Us • Income Properties For Sale • Forms • Advertise • Forums