The HAI is the ratio of the median family income to the income required to buy the median-priced house using standard mortgage financing at the current interest rate. Standard financing is a fixed-rate, 30-year loan covering 80 percent of the cost of the home. A HAI of 1.00 indicates that the median family income is exactly equal to the required income to qualify for the standard loan to purchase the median-priced house.

In Houston the median priced home in 2010 was $155,900. The median family income in Houston was $65,100.

The HAI for first time homebuyers in Houston in 2010 was 1.49.