Homeownership remains out of reach for most San Diego County families, and the latest numbers paint a sobering picture for residents in Vista and San Marcos.

According to the California Association of Realtors’ second-quarter report, just 17 percent of households in San Diego County can afford the region’s median-priced single-family home, which now sits at $1,075,000. To qualify for that purchase, a household would need to earn a minimum of $268,000 annually.

While affordability held steady compared to the first quarter and ticked up slightly from 16 percent a year ago, the numbers remain near historic lows. Rising mortgage rates and climbing home prices are keeping the dream of homeownership just out of reach for many working families in North County.

Statewide Picture

Across California, housing affordability actually slipped during the second quarter. The statewide rate fell to 19 percent, down from a four-year high of 22 percent in the first quarter. The median home price statewide climbed to $916,750, requiring an annual income of $228,400 to afford a typical home.

The average effective mortgage rate rose to 6.54 percent, up from 6.24 percent in the previous quarter. That marks the first quarterly increase in five consecutive quarters, adding another layer of difficulty for would-be buyers.

What This Means for North County

For families in Vista and San Marcos, the affordability gap is especially challenging. While both cities offer more modest price points than coastal communities like Carlsbad or Encinitas, the gap between local wages and home prices continues to widen. Renters hoping to transition into homeownership face an uphill climb as both prices and borrowing costs remain elevated.

The report underscores a reality many North County families already feel: even with steady employment and careful budgeting, buying a home in San Diego County remains a distant goal for most.

Questions You Might Have About North County Real Estate

How does San Diego County compare to the rest of California?

San Diego County’s 17 percent affordability rate is slightly below the statewide average of 19 percent, reflecting the region’s high home prices relative to incomes.

What income do I need to buy a median-priced home in San Diego County?

You would need a minimum annual income of approximately $268,000 to qualify for a $1,075,000 home, assuming a standard mortgage.

Are home prices expected to drop?

The report shows the statewide median price rose 8.7 percent from the previous quarter, and with mortgage rates climbing, no immediate relief is in sight.

Does the report include condos and townhomes?

The data focuses on single-family homes. Condos and townhomes typically have lower price points and may offer a more accessible entry point for some buyers.