When is the Next CA Housing Price Collapse Supposed to Happen? (San Diego: foreclosures, house prices)

[Vic Romano]

Originally Posted by Searching-01

Any thoughts or rationales on when the burst is supposed to happen in CA?

Maybe you can move to Bakersfield soon. Otherwise, you're out of luck.

https://www.gobankingrates.com/inves...ing-crisis/#41

[CA4Now]

Originally Posted by SOON2BNSURPRISE

I have watched prices go up and down over the years. Realize that they never get down to the last low and they always surpass the last high.

They can--and have--done both. You might not have paid attention if you never had to sell during one of those times. Plenty of people saw the value of their homes drop substantially if they bought at a peak--say 1989, and had to sell in the mid 1990s--or say, 2006 and had to sell between 2009 and 2012.

Some people have no choice when they must sell: loss of a job, death of a family member, a job opportunity in another state that they can't turn down, etc....and they cannot ride out the downturn so they're stuck taking the loss.

[JBtwinz]

While I have never lived in California I have spent a good part of my life since the age of 4 either visiting or stints working in SD (I just turned 59). We have family and friends who live near Tahoe and those living all the way down to San Diego currently.

My family and extended family are what I call old California, as they were either born and raised there or moved to CA durning the 1940's. If not all of them I would say most of them are in their 50's to mid 80's now and there roots are firmly planted.

Even my dad was an LA cop after WW II but headed back to the east coast and met my mom and settled down back east.

My ramblings here is both in fascination, bewilderment and disbelief of the cost of housing in CA and how it has escalated. Again we have family deeply rooted in areas like Sant Cruz, Vallejo and an aunt and uncle who broke ground on a small house in Thousand Oaks in the very early 70's wanting to get out of their little Hollywood bungalow.

We love everything that is California and over those many years we have explored just about every square inch of it but we never had the courage to make the jump.

It's kind of crazy as we had been looking at Paradise as a possibility of a future retirement spot two years ago and then to see it devasted this year was so incredible.

My apologies again for my ramblings, just musing over how much has changed over our many years visiting and working in CA.

[Csonka]

Originally Posted by JBtwinz

While I have never lived in California I have spent a good part of my life since the age of 4 either visiting or stints working in SD (I just turned 59). We have family and friends who live near Tahoe and those living all the way down to San Diego currently.

My family and extended family are what I call old California, as they were either born and raised there or moved to CA durning the 1940's. If not all of them I would say most of them are in their 50's to mid 80's now and there roots are firmly planted.

Even my dad was an LA cop after WW II but headed back to the east coast and met my mom and settled down back east.

My ramblings here is both in fascination, bewilderment and disbelief of the cost of housing in CA and how it has escalated. Again we have family deeply rooted in areas like Sant Cruz, Vallejo and an aunt and uncle who broke ground on a small house in Thousand Oaks in the very early 70's wanting to get out of their little Hollywood bungalow.

We love everything that is California and over those many years we have explored just about every square inch of it but we never had the courage to make the jump.

It's kind of crazy as we had been looking at Paradise as a possibility of a future retirement spot two years ago and then to see it devasted this year was so incredible.

My apologies again for my ramblings, just musing over how much has changed over our many years visiting and working in CA.

The cost of housing really isn't that crazy. It many cases it is cheaper to own than rent.

[JBtwinz]

Originally Posted by Csonka

The cost of housing really isn't that crazy. It many cases it is cheaper to own than rent.

We had our chance in 2010 as I was offered a promotion and position in San Diego. The game plan was to do 12 years and then return here. The wife is a stay at home mom and the four of us would be living off of 85k the fist year out. The advice I got from family and friends out there was it would be tight. The wife has no fear and was ready to jump............me, I chickened out! It seemed the numbers would not work out.

[RockyCity]

Originally Posted by aslowdodge

You’re sitting on gold. I can’t see ever wanting to move based on your circumstances.

With my active lifestyle the bay area is definitely the best fit. I'm established here, plus its much easier to fill my time in retirement. I'm able to enjoy it a lot more now than while working. Relocating will always be an option, but its not in the cards right now.

[Ultrarunner]

I have seldom ever met the underwriting requirements which forced me to be creative in my quest to own California Real Estate... so I know it can be done and I have helped friends achieve the same.

Owner financing of a property with issues is one sure way to get around underwriting and income ratios... it is also the acid test as to how long you can live on noodles...

I bought one home where my entire take home pay went to mortgage... 100%.

But, the seller financed mortgage meant it would be fully paid for in 7 years and I had put down 50% from the sale of my previous home... no conventional lender would touch it...

Having a roommate meant I had money for groceries, gas and car insurance...

I have also bought with a younger sibling... I had saved the down payment but being self employed was an issue... he was working for UPS and had good income but saved nothing... together we qualified... the lender even questioned why I was on title... my brother said it is because I had down payment and he didn't...

[Csonka]

Originally Posted by JBtwinz

We had our chance in 2010 as I was offered a promotion and position in San Diego. The game plan was to do 12 years and then return here. The wife is a stay at home mom and the four of us would be living off of 85k the fist year out. The advice I got from family and friends out there was it would be tight. The wife has no fear and was ready to jump............me, I chickened out! It seemed the numbers would not work out.

It takes little faith. In a way you have to put your faith in California's hands and believe she will be good to you, that that $85K would soon become $100K and then $125K a few years down, meanwhile your mortgage is flat and you are bringing more and more money.

That is how I approached it. I always say, california is like a mistress. You treat her well, she treats you well lol

But as long as you are happy

Me persoanlly, we are looking to get a second home in another state, but I imagine we will always keep our place here. Because the work is always going to be good. The house is almost paid off and is worth not a fortune but a good amount.

[CA4Now]

Originally Posted by Csonka

It takes little faith. In a way you have to put your faith in California's hands and believe she will be good to you, that that $85K would soon become $100K and then $125K a few years down, meanwhile your mortgage is flat and you are bringing more and more money.

Actually, anyone can see why a potential buyer might not have had faith in California or the housing market in general in 2010. The housing bubble had recently burst in a way that most buyers, especially younger ones, had never seen in California. Many did not want to risk potential future losses.

The Housing Market Crash of 2007 and What Caused the Crash |

[CA4Now]

Home prices fall in Southern California for the first time in 7 years:

https://www.latimes.com/business/la-...426-story.html