It will have been 5 years ago in June that The Great Recession ended. Unfortunately, there has been little improvement in real household income since then. According to Sentier Research, real median household income declined 0.73% in March. The nominal median household income was up $285 month-over-month and up only $1,494 year-over-year. Adjusted for inflation, it declined 0.73% MoM but is up 1.3% YoY.
1.3% YoY growth in real median household income is nothing to cheer about. Hourly wage growth was 2.1% in March, considerably below levels found in 2007 (3.9%). Real median household income is down 7% since December 2007 while hourly wage growth in down 42% from December 2008.
CoreLogic’s Loan Performance Home Price Index was up 12.2% YoY in March, while hourly wages grew at 2.1% and real median household income grew at 1.7%.
NOT exactly a model of home affordability!