El Paso, Texas Home Price-to-Income Ratios
The current price-to-income ratio for El Paso is 3.77 as determined by September 2011 Realtor median sales prices. The second chart shows a history of the ratio as an index calculated from the Federal Housing Finance Agency's El Paso HPI series. Median household income data for El Paso is from the Census American Community Survey.
Price-to-Income Dollar Ratio: Realtor
Price-to-Income Index Ratio: FHFA
Note: Index set to 100 in Q1 of 2000
El Paso, Texas Home Price-to-Income Ratio History
| Date | Realtor (Dollar Ratio) |
FHFA (Index Ratio) |
|---|---|---|
| September 2011 | 3.77 | 135.0 |
| June 2011 | 3.68 | 136.5 |
| March 2011 | 3.65 | 137.2 |
| December 2010 | 3.73 | 138.1 |
| September 2010 | 3.73 | 137.3 |
| June 2010 | 3.73 | 138.9 |
| March 2010 | 3.73 | 135.8 |
| December 2009 | 3.67 | 138.0 |
| September 2009 | 3.67 | 139.3 |
El Paso, Texas Home Price-to-Rent Ratios
The current adjusted price-to-rent ratio for El Paso is 18.15 as determined by September 2011 Realtor median sales prices. This ratio is calculated using household size adjusted median contract rent for El Paso. The chart below shows an index of the rent ratio calculated from the metro FHFA HPI series and the El Paso median contract rent data from the Census ACS.
Price-to-Rent Dollar Ratio: Realtor, Realtor Adjusted Rent
Price-to-Rent Index Ratio: FHFA
Note: Index set to 100 in Q1 of 2000
El Paso, Texas Home Price-to-Rent Ratio History
| Date | Realtor (Dollar Ratio) |
Realtor Adjusted (Dollar Ratio) |
FHFA (Index Ratio) |
|---|---|---|---|
| September 2011 | 19.91 | 18.15 | 111.9 |
| June 2011 | 19.44 | 17.72 | 113.2 |
| March 2011 | 19.29 | 17.59 | 113.8 |
| December 2010 | 19.70 | 17.96 | 114.5 |
| September 2010 | 19.70 | 17.96 | 113.8 |
| June 2010 | 19.70 | 17.96 | 115.2 |
| March 2010 | 19.70 | 17.96 | 112.5 |
| December 2009 | 20.97 | 19.12 | 123.8 |
| September 2009 | 20.97 | 19.12 | 124.9 |
El Paso, Texas Home Rent-to-Mortgage Payment Ratio
The rent-to-mortgage payment ratio uses the adjusted rent for El Paso against a 100% loan-to-value mortgage (30-year fixed) for the median price home using Realtor home sales statistics. It's a lot like a cap rate, but I find it more appealing in ratio form. A ratio of 1.0 means that annual rent is equivalent annual mortgage payments. Values less than 1.0 indicate rents are cheaper and values greater than 1.0 mean mortgage payments are cheaper. Beware, taxes are not considered here. The rent-to-mortgage payment ratio for El Paso was 0.95 in September 2011.
Rent-to-Mortgage Payment Dollar Ratio: Realtor
El Paso, Texas Home Rent-to-Mortgage Payment Ratio History
| Date | Realtor Adjusted Rent (Dollar Ratio) |
|---|---|
| September 2011 | 0.95 |
| June 2011 | 0.93 |
| March 2011 | 0.90 |
| December 2010 | 0.89 |
| September 2010 | 0.93 |
| June 2010 | 0.89 |
| March 2010 | 0.87 |
| December 2009 | 0.82 |
| September 2009 | 0.81 |
El Paso, Texas Inferred Affordable Mortgage
The inferred affordable mortgage value is determined by taking the median household income for El Paso, Texas and calculating the mortgage 30% of that income could afford. Traditionally, 30% of income is the maximum amount a homeowner could use towards a home loan. Inferred affordable loan values are calculated from ACS median household income and average monthly mortgage rates.
Inferred Affordable Mortgage
El Paso, Texas Inferred Affordable Mortgage History
| Date | Inferred Mortgage |
|---|---|
| November 2011 | $188,821 |
| October 2011 | $187,009 |
| September 2011 | $186,113 |
| August 2011 | $182,590 |
| July 2011 | $176,661 |
| June 2011 | $177,490 |
| May 2011 | $174,817 |
| April 2011 | $170,821 |
| March 2011 | $170,821 |
| February 2011 | $168,682 |
| January 2011 | $172,402 |
| December 2010 | $173,402 |
| November 2010 | $181,941 |
1. Specifically, home prices are from the non seasonally adjusted FHFA all-transactions quarterly series. Dollar ratios are calculated using NAR metro prices when available. Rent and income data are from the Census ACS and are carried forward into the following year prior to release of the new data. ↩