The percentage of first-time buyers in California able to afford a median-priced home stood at 23% in the second quarter of 2006, compared with 30% for the same period a year ago, according to a newly developed index released today by the California Association of Realtors. C.A.R.’s First-time Buyer Housing Affordability Index measures the percentage of first-time buyer households that can afford to purchase a home in California. C.A.R. also reports first-time buyer indexes for regions and select counties within the state.

The minimum household income first-time buyers needed to purchase a home at $482,000 in California in the second quarter of 2006 was $98,720, based on an adjustable interest rate of 6.48% and assuming a 10% down payment. First-time buyers typically purchase a home equal to 85% of the prevailing median price. The monthly payment including taxes and insurance was $3,290 for the second quarter of 2006.

At 39%, the High Desert region was the most affordable region in the state, followed by the Sacramento region at 38%. Santa Barbara was the least affordable region in the state at 14%, followed by San Luis Obispo at 17%.