by Malou Liwanag-Aguilar/AJPress
SAN FRANCISCO—More than one out of five homeowners in San Francisco spends 50 percent or more of their income on housing. More than 7.5 million people—almost 15 percent of American homeowners with a mortgage—are spending half of their income or more on housing costs, according to a 2007 data released by the US Census Bureau last September 23. That number is up from nearly 7.1 million the year before.
In a report with the Associated Press, more that 4 million homeowners were at least one month behind on their loans at the end of June. Also, almost 500,000 had started the foreclosure process, according to the Mortgage Bankers Association.
A homeowner spending 30 percent or more of their income on housing costs is traditionally considered by the government and most lenders to be financially burdened. However, that definition now describes almost 38 percent of American homeowners with a mortgage, about 19 million.
San Francisco is one of the largest 100 metro areas analyzed by the Associated Press that showed populations in which at least 20 percent of homeowners spent more than half of their income on mortgage. Other places include California metro areas of Stockton, Los Angeles, Riverside, Oxnard-Thousand Oaks, and San Diego. Also in the top 10 are the Fort Myers, Sarasota and Orlando metro areas in Florida, and New York-Northern New Jersey-Long Island. (www.asianjournal.com)