What Salary Do You Need to Buy a Home in California? (2026)

Income Required to Buy a Median California Home

At 6.52% (30-year fixed, Freddie Mac June 2026) using the 28% front-end DTI rule

Monthly Payment Breakdown — $785,000 Median Home

PITI = Principal + Interest + Taxes + Insurance. PMI added for 10%-down scenario.

Rate: 6.52% 30-year fixed (Freddie Mac June 2026). Property tax: 0.70% effective rate. Insurance: $2,000/yr statewide average. PMI: 0.85% of loan annually.

California Affordability Gap

How far the median household income is from what's needed to buy the median home

Most & Least Affordable Counties in California

Home prices vary significantly by county — these counties anchor the affordability spectrum

County affordability reflects relative home price levels. Use the mortgage calculator for an exact income analysis at your target county price point.

Mortgage Calculator — California

Pre-loaded with California's $785,000 median home price at 6.52%

How Much Home Can You Afford in California?

The income required figures above are for the median home. Enter your actual income to see what home price you qualify for.

Frequently Asked Questions

What salary do you need to buy a house in California?

To buy California's median-priced home ($785,000) with 20% down at 6.52% (30-year fixed), you need $197,239/year. That keeps your monthly PITI (principal, interest, taxes, insurance) of $4,602 within the 28% front-end DTI guideline. With 10% down and PMI, the required income rises to $239,995/year with a $5,600/month payment. Source: NAR Q1 2026, Freddie Mac June 2026.

Can the average California household afford a home?

Not easily. The median California household earns $84,907/year, but qualifying for the median home requires $197,239 — an affordability gap of $112,332 (+132.3%). On the median income, the most you can spend and stay within the 28% guideline is $321,127.

What home price can I afford on California's median income?

At $84,907/year (California's median), your maximum monthly housing budget is $1,981 under the 28% DTI rule. Working backwards at 6.52% with 20% down, that supports a home price of $321,127 — $463,873 below the $785,000 median.

What is the PITI payment on a median California home?

On California's median home price of $785,000: with 20% down ($157,000 down), your PITI is $4,602/month. With 10% down ($78,500 down plus PMI), PITI rises to $5,600/month. PITI includes principal & interest at 6.52%, property tax at 0.70%, and homeowners insurance (PMI added for 10%-down scenario at 0.85% of loan annually). Source: Freddie Mac June 2026 / NAR Q1 2026.

What is the 28% rule for buying a home?

The 28% rule (HUD front-end DTI standard) says your monthly housing payment — principal, interest, taxes, and insurance (PITI) — should not exceed 28% of your gross monthly income. To qualify for California's median home at 20% down, your PITI would be $4,602/month. Divide by 0.28 to get the required monthly income ($16,437), then multiply by 12: $197,239/year. Lenders also check back-end DTI (all debts ≤ 43%), so existing debt reduces what you can borrow.

Which California counties are most and least affordable?

California's most affordable counties for homebuyers include Fresno County, Tulare County, Kings County, where home prices are significantly below the state median. The least affordable are typically San Francisco County, San Mateo County, Santa Clara County, where prices far exceed the statewide average. County-level data is updated quarterly — use the mortgage calculator below for your specific target area.