California....golden handcuffs. (Los Angeles, San Diego, San Jose: apartments, renters, appliances)

[Ghostly1]

Originally Posted by user_id

Its relatively new, but young families have certainly been leaving the state in relatively large numbers. But I think there are still a lot of young families that have been on the fence the last 4~5 years and its time for them to get off, they need to move on with their lives and either leave the state or become happy with the idea of renting their home indefinitely.

Which brings everything right back to Square 1 which means nothing g anyone else posted mattered one whit to you which begs the question of why you began the thread in the first place unless it was to merely preach.

[user_id]

Originally Posted by Ghostly1

Which brings everything right back to Square 1 which means nothing g anyone else posted mattered one whit to you which begs the question of why you began the thread in the first place unless it was to merely preach.

Sorry.....but I'm not sure what point you're trying to make here. I have responded to the various comments people have made in this thread.

[Screen]

Let's just admit California isn't worth it for newcomers anymore.

[RoaminRebel]

Originally Posted by user_id

Sorry.....but I'm not sure what point you're trying to make here. I have responded to the various comments people have made in this thread.

Hello, another TOaker here. I can see where you're coming from, definitely in reference to T.O. The homes in the area were affordable up through the 90's, then shooting stratospheric in the early 2000's onward. Besides the fact that T.O. and other desirable areas were a planned community that was already reaching its development potential, there were systemic reasons for all this:

Look into the GLB act of 2000, why it was important and what it guaranteed the banks. Combine that with the (up until that time) relatively low interest rates and you have the ingredients for the so called housing bubble. Very lucrative for a few with good timing and in upper echelons of investment banking houses; all at the expense of the taxpayer of course. Areas that were developed experienced rocketing prices, but areas that were not yet developed now have oversupply.

Look at quantitative easement and its effect on the equity markets and what the money is being used for, one purpose is covering the loss of the worthless MBS's. Look how equity firms bought up the distressed houses in bulk so they never went into foreclosure - thereby ensuring the supply would never adjust upward to bring prices into affordable ranges. This saturated rental markets, driving rental prices skyward. They again are turning large profits as they let these assets go slowly as gullible people believed we are in the midst of a genuine recovery. And now a new Fed chief is named to ensure that QE will continue for a long time to come but there never was really a choice on this matter to begin with.

Its all a brilliant con I'm afraid by some shrewd shrewd minds... but of course they would tell you they're "doing God's work"..

[CA4Now]

Originally Posted by user_id

"Not necessarily appreciating"....what does that mean?

And what does your statement "rapidly appreciating" mean?

Originally Posted by user_id

Rates in the late 70's were high due to inflation, but this also meant that real estate was rapidly appreciating and there was significant wage growth.

It's interesting that you call out anyone who doesn't agree with you by stating that they're using "personal anecodotes" or their opinion, but then you do the same thing yourself.

Contrary to what you seem to have implied, those that purchased in the 70's were handed a golden opportunity.

Were you buying real estate in California then?

[bigdumbgod]

Originally Posted by Screen

Let's just admit California isn't worth it for newcomers anymore.

Maybe not for the 4B3Ba, 2.4 kids, dog/cat, white picket fence/giant lawn, "Wish it were the '50's" people, but it works for many of the more intrepid and creative folks. (Hint: It makes it much easier if one knows or quickly gets to know locals to make it here).

[Usrname]

Originally Posted by bigdumbgod

Maybe not for the 4B3Ba, 2.4 kids, dog/cat, white picket fence/giant lawn, "Wish it were the '50's" people, but it works for many of the more intrepid and creative folks. (Hint: It makes it much easier if one knows or quickly gets to know locals to make it here).

Well, those ordinary family folks have to create environment and societal base where those intrepid and "creative" (NOT in artistic sense, for sure) people can make their money in current extreme/unchecked system...Cut at the root...wait till the tree falls on your head. They're literally cutting at the base. Replace local families either with young and intrepid or with migrant workers from overseas strategy is underway, obviously. Where does it lead? Perhaps, to financial gain of the few...but does it really benefit society?

People are starting to think that technology is all-powerful, making extreme (and unfair) profits on it... forgetting someone has to put food on their table so that they won't starve to death and can do whatever they're doing.

[Usrname]

Originally Posted by RoaminRebel

Look into the GLB act of 2000, why it was important and what it guaranteed the banks. Combine that with the (up until that time) relatively low interest rates and you have the ingredients for the so called housing bubble. Very lucrative for a few with good timing and in upper echelons of investment banking houses; all at the expense of the taxpayer of course. Areas that were developed experienced rocketing prices, but areas that were not yet developed now have oversupply.

Look at quantitative easement and its effect on the equity markets and what the money is being used for, one purpose is covering the loss of the worthless MBS's. Look how equity firms bought up the distressed houses in bulk so they never went into foreclosure - thereby ensuring the supply would never adjust upward to bring prices into affordable ranges. This saturated rental markets, driving rental prices skyward. They again are turning large profits as they let these assets go slowly as gullible people believed we are in the midst of a genuine recovery. And now a new Fed chief is named to ensure that QE will continue for a long time to come but there never was really a choice on this matter to begin with.

Its all a brilliant con I'm afraid by some shrewd shrewd minds... but of course they would tell you they're "doing God's work"..

Very, very true: it's a sophisticated financial scheme they're trying to pass off as genuine market dynamics.

[bigdumbgod]

Originally Posted by Usrname

People are starting to think that technology is all-powerful, making extreme (and unfair) profits on it...

Making a killing on this stuff isn't likely to continue forever, at least in such impacted places like SV. Something's gotta give. Or at least stabilize, somewhat.

As for society? People want their gadgets, families included (especially, in fact). But the extreme demand for such causes daddy to work many miles away with a killer commute, 70-80hrs/wk. Not good for the wife or kiddies, even if he makes good money. Let the single tech geeks do this stuff (it's not a very healthy way to live, anyway).

[RoaminRebel]

Originally Posted by Usrname

Very, very true: it's a sophisticated financial scheme they're trying to pass off as genuine market dynamics.

What else astounds me is how skillfully they manipulate public opinion. Most of the dissatisfied people are debating symptoms without seeing the disease. But I guess this is how they rule the world! Divide and conquer!