Here is a sliver of good news for Southern California house hunters: The typical income required to buy a home dipped modestly in four of the six local counties last year.

My spreadsheet reviewed California Association of Realtors affordability stats, comparing fourth-quarter figures with year-end 2023 results, and found some small declines in the monetary burden of local homebuying.

The Realtors’ study tracks swings in single-family home pricing and mortgage rates. It measures how much a theoretical buyer must make to purchase the median-priced home, assuming a 20% down payment and putting only 30% of their income toward house payments.

Yes, homebuyers found cheaper mortgages in 2024 — with the average rate falling to 6.8% from 7.4%. But that dip created only meek savings because of stubbornly high home prices.

Small savings

Riverside County had the most significant drop in what a successful buyer must earn.

The $159,600 annual household income needed at year-end 2024 was 3.6% below the requirement in 2023’s fourth quarter. Those paychecks qualified a Riverside County house hunter for the estimated $3,990 monthly payment on a $629,000 median-priced house. Prices grew 2% last year.

Still, at the end of last year, only 20% of Riverside County households would have qualified for a mortgage, up slightly from 19% affordability in 2023.

Consider the three other Southern California counties where requirements dipped.

Ventura County: $232,400 required — down 3.5% in 12 months — for the $5,810 payment on the $915,000 median after 2% appreciation last year. Affordability? 14% last year, up from 13% in 2023.

San Bernardino County: $126,800 required — down 3.1% — for $3,170 payment on the $499,000 median after 2% appreciation last year. Affordability? 27% last year, up from 24% in 2023.

Orange County: $345,200 required — down 0.7% — for $8,630 payment on the $1.36 million median after 5% appreciation last year. Affordability? 12% last year, up from 11% in 2023.

Bigger pay needed

Incomes required to buy rose in two local counties.

San Diego County: $250,000 required — up 0.3% in a year — in the fourth quarter for the $6,250 payment on the $985,000 median after 6% appreciation last year. Affordability? 12% last year, up from 11% in 2023.

Los Angeles County: $238,400 required — up 0.8% — for $5,960 payment for the $939,690 median after 6% appreciation last year. Affordability? 11% last year, same as 2023.

Double trouble

Ponder how the required incomes ballooned from five years back, just before the coronavirus upended the economy. Basically, your paychecks had to double to buy.

For example, Orange County’s need surged 113% from $162,000 at year-end 2019, the region’s largest jump. The other counties?

San Bernardino: Up 105% from $62,000.

Los Angeles: Up 97% from $121,000.

Riverside: Up 95% from $82,000.

San Diego: Up 95% from $128,000.

Ventura: Up 79% from $130,000.

Bottom line

Slim improvements were also found statewide at year-end.

Last year, the paychecks needed to buy declined in 32 of the 50 counties tracked by the Realtors, while the affordability rate improved in 39 counties.

Yet it remains nearly impossible for most Californians to be buyers.

Statewide, a $222,000 annual income was required at year-end 2024, down just 0.4% from last year — but roughly double 2019’s $119,000.

That 2024 pay level is needed to afford the estimated $5,550 monthly payment that buys California’s $874,000 median-priced house. Home prices grew 5% last year.

Sadly, just 15% of California households could qualify to buy in the fourth quarter, unchanged in a year.

And is it any surprise that California single-family home purchases last year were up just 4% from the 16-year low set in 2023?

Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at jlansner@scng.com.