Wednesday, July 1, 2009

The Ultimate Battle: California Vs. Indiana

Get ready Arnold, because Indiana is about to crush California. I'm not talking about violent fighting, I'm talking about a better place to live. Sure, California has some of the most beautiful coastlines in the world. And yes, they may have some of the most gorgeous beaches and it is home to some of the world's most famous celebrities. Not to mention the breathtaking views of mountains and the fact that Las Vegas is only a short car ride away. Indiana has the power to veto all those great things about California because of Indianapolis's Real Estate affordability.

Known as the crossroads of America, Indiana lies in the heart of the Midwest. Indiana is saturated with lakes and rivers and the beauty that comes with the four seasons of the year. Indiana is also home to Indianapolis, which is located in the middle of the state. That may not sound like a big accomplishment, but the Indianapolis Real Estate Market was in fact the most affordable housing market in America in 2006.

The National Association of Home Builders and Wells Fargo released a survey in November 2006 that named Indianapolis the most affordable housing market in America. It also named California the least affordable state in the country. According to the survey, 40.4 percent of existing and new homes that were sold were affordable to the families who were making $59,600, which was the United Stated median income of that time.

The Housing Opportunity Index released by NAHB and Wells Fargo measures the number of homes sold in any given area that are affordable to families who are earning that particular area's median income. In order to be considered affordable, the actual housing expenses, which include property taxes, insurance, and mortgage payment, must not exceed 28 percent of the income. The Indianapolis Real Estate Market, particularly the housing market, was voted the most affordable in the country, which is quite an accomplishment.

In and around Indianapolis, an astonishing 86 percent of homes that were sold in 2006 were sold at or below the city's median income which was $65,100 in 2006. So, someone earning the city's median income could afford to buy 86 percent of the homes that were sold. That statistic alone makes the Indianapolis Real Estate Market a very attractive place.

On the other hand, a mere 1.8 percent of all the homes sold in Las Angeles were affordable to the people earning the city's median income, which was $56,200. Sorry Arnold, the statistics speak for themselves and the statistics deem Indianapolis Real Estate very affordable for its citizens. Oh, I forgot to mention that Las Angeles is not the only city in California that was on the least affordable list. Santa Ana, Anaheim, Irvine, Modesto, Stockton, San Marcos, Carlsbad, and San Diego are the other big cities in California that accompanied Las Angeles on the list.

The Indianapolis Real Estate Market is attractive to anyone who wants to be able to own their own home comfortably and maintain a high quality of living. However, California is definitely the location for those who feel like struggling to make their mortgage payment every month. Hey, you always have the views and the short drive to Las Vegas!

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