Housing affordability drops in Tampa-St. Pete area
May 24, 2021 - The Tampa-St. Petersburg area is among the markets where housing affordability declined in March, according to First American Financial Corp. First American (NYSE: FAF) compiles a monthly “real house price index” that measures the price changes of single-family properties throughout the United States, adjusted for the impact of income and interest rate changes on consumer house-buying power over time. Because it adjusts for house-buying power, it is a measure of housing affordability, First American said in a news release. Nationally, housing affordability on a year-over-year basis declined in March for the first time since January 2019, according to Mark Fleming, chief economist at First American. Kansas City, Missouri saw the greatest decline in housing affordability, followed by Phoenix and the Tampa metro area. Although mortgage rates are low and household incomes held steady, housing prices increased about 18 percent in the Tampa metro and outpaced those factors, according to a blog post by Fleming.