Jones Lang LaSalle’s Winter 2009 edition of the Greater Boston Residential Report is now available. It includes an analysis of housing trends within Greater Boston and across the nation.
One of many interesting graphics they provide is this one. It compares the ratio of median sales price to median household income from 1990 to 2008. At no time was the ratio less than 4-to-one. In 2002, the ratio was 5.32-to-one, about the same as in 2008.
Worth knowing for the next time someone says to you, “We’ll know we’ve reached bottom in this real estate market when home prices are back at their historical three-times income level.”
(Of course, you and I don’t live in “Greater Boston”, we live in Boston. Things would be skewed quite differently. We have a higher housing cost here, but we also have a higher median income.)