Santa Cruz-Watsonville, Calif.

Least Affordable

Rank: 8
Homes affordable to median-income families: 43.6%
Affordable homes in Q2 2004: 7.9%
Median home price: $400,000
Median family income: $83,800
Unemployment rate: 10.8%

Santa Cruz, a progressive city about 74 miles south of San Francisco and 30 miles from San Jose, is the home of the University of California at Santa Cruz. Major industries include agriculture, tourism, and technology.