An ever-worsening housing shortage means an even more dramatic drop in the affordability index in California. Statewide, it’s down to 27-percent for the first quarter of the year, compared to 35-percent a year ago. Meanwhile, in Nevada County, it’s dropped nine points to just 37-percent. That means the minimum annual income here, to qualify for a purchase, is now 95-thousand-600 dollars. Teresa Dietrich, with the local realtors association, says the average price has risen 31-percent, with inventory down 56-percent. But she says demand is still super-competitive, with buyers still trying to take advantage of low interest rates…

click to listen to Teresa Dietrich

Dietrich also cites the continued surge of buyers from the Bay Area. And she says they’re apparently not daunted by skyrocketing fire insurance rates that show no signs of moderating…

click to listen to Teresa Dietrich

The current median home price in Nevada County is 525-thousand dollars.