New Start in AZ instead of SoCal? (Phoenix, Tucson: real estate market, rent)

[goolsbyjazz]

Originally Posted by fluffythewondercat

I mean this in the nicest possible way but you do know HGTV isn't real, right?

They fake a lot of their shows. They often portray people "buying" the house they already live in.

HGTV Shows Fake Way More Than You Realize (PHOTOS)

I was an HGTV devotee at one time, until I found out it was phony. I'm still trying to figure out why their shows are so weirdly addictive.

I was not aware of this! I'm a huge HGTV fan. So disappointing!

[clearlevel]

Originally Posted by grad_student200

Southern California's housing market is just bizarre. I watched that show "Flip or Flop" and the couple often got to a point where they had to set a price. They would look at the "comps" in the neighborhood, and it was usually ridiculous: $550,000, $575,00, $700,000, $900,000, etc. These were regular "Brady Bunch" type of neighborhoods that would seem great for a middle-class family. But the middle class is realistically priced out of existence.

So I am amazed that they actually find buyers. I often wonder what a demographic profile of those buyers would look like. Do they have an inheritance of $800,000 just lying around? Are they selling a much more expensive home from another part of California or state and relocating with huge payouts from a house they are selling? Or are they executives or partner at a law firm with a JD/PhD or something like that? They made over $3,000,000 selling mobile apps? I am curious as to how those buyers actually come up with the money.

Database programmers, web site administrators, software test managers, product owners generally make a reasonably good amount of money but in no way could afford a 1800 ft2 home with 4 bedrooms and 2 baths in in Southern California. But in Phoenix they could. They also could in Austin, TX or some parts of Metro Tampa/Orlando. But Southern Cal? Nope.

As for "Flip or Flop" the couple got rich off those high "comp" prices. But apparently there are some things money can't buy like a happy marriage. They are getting divorced.
Our Favorite Moments From Flip or Flop Season 1 | HGTV's Flip or Flop | HGTV

There are millions of millionaires in the United States. Around the world, there are even more millionaires and billionaires. California is a very limited and very scarce area when it comes to land, therefore, that pushes prices very high. If prices are that high, it's because people are buying them.

[Dewey59]

The fruits and nuts in CA are setting themselves up for another housing bubble burst. Unsustainable prices will eventually lead to price drops and then people getting upside down in their mortgages. Here we go again! But getting back to the OP....

You are correct that it is considerably more expensive to move to CA vs. AZ. Not just the housing, but taxes are a lot higher in CA too. You might like the area around Tempe. Lots of night life and younger people with ASU being in Tempe. Just a matter of what you want and the prices you are willing to bear. Or, if you prefer a cooler climate, Flagstaff could be another good option for a younger person.

If considering the PHX area, be sure you are ready and willing to accept the heat. That is the biggest down side for many people moving here. Understand what you are getting into. Some people can live with it no problem, some people can't. Also definitely rent for a year to make sure you will like it here and also so you can get the lay of the land in the PHX area. That will give you a much better and more informed perspective of exactly where in the valley you would want to live if you then decide to buy.

[chaz40]

Originally Posted by grad_student200

Southern California's housing market is just bizarre. I watched that show "Flip or Flop" and the couple often got to a point where they had to set a price. They would look at the "comps" in the neighborhood, and it was usually ridiculous: $550,000, $575,00, $700,000, $900,000, etc. These were regular "Brady Bunch" type of neighborhoods that would seem great for a middle-class family. But the middle class is realistically priced out of existence.

So I am amazed that they actually find buyers. I often wonder what a demographic profile of those buyers would look like. Do they have an inheritance of $800,000 just lying around? Are they selling a much more expensive home from another part of California or state and relocating with huge payouts from a house they are selling? Or are they executives or partner at a law firm with a JD/PhD or something like that? They made over $3,000,000 selling mobile apps? I am curious as to how those buyers actually come up with the money.

Database programmers, web site administrators, software test managers, product owners generally make a reasonably good amount of money but in no way could afford a 1800 ft2 home with 4 bedrooms and 2 baths in in Southern California. But in Phoenix they could. They also could in Austin, TX or some parts of Metro Tampa/Orlando. But Southern Cal? Nope.

As for "Flip or Flop" the couple got rich off those high "comp" prices. But apparently there are some things money can't buy like a happy marriage. They are getting divorced.
Our Favorite Moments From Flip or Flop Season 1 | HGTV's Flip or Flop | HGTV

I'm fortunate enough that I'm a veteran and I'm able to use my VA Loan. I only had to put 5% down on my house here, and I could have put even less than that if I wanted. But yes for most people, it is difficult.

[payutenyodagimas]

Originally Posted by grad_student200

Southern California's housing market is just bizarre. I watched that show "Flip or Flop" and the couple often got to a point where they had to set a price. They would look at the "comps" in the neighborhood, and it was usually ridiculous: $550,000, $575,00, $700,000, $900,000, etc. These were regular "Brady Bunch" type of neighborhoods that would seem great for a middle-class family. But the middle class is realistically priced out of existence.

So I am amazed that they actually find buyers. I often wonder what a demographic profile of those buyers would look like. Do they have an inheritance of $800,000 just lying around? Are they selling a much more expensive home from another part of California or state and relocating with huge payouts from a house they are selling? Or are they executives or partner at a law firm with a JD/PhD or something like that? They made over $3,000,000 selling mobile apps? I am curious as to how those buyers actually come up with the money.

Database programmers, web site administrators, software test managers, product owners generally make a reasonably good amount of money but in no way could afford a 1800 ft2 home with 4 bedrooms and 2 baths in in Southern California. But in Phoenix they could. They also could in Austin, TX or some parts of Metro Tampa/Orlando. But Southern Cal? Nope.

As for "Flip or Flop" the couple got rich off those high "comp" prices. But apparently there are some things money can't buy like a happy marriage. They are getting divorced.
Our Favorite Moments From Flip or Flop Season 1 | HGTV's Flip or Flop | HGTV

those buying up to 650k are usually 2 income households with household income of around 150k+. maybe one spouse is in healthcare or tech or union protected jobs like education or public safety.

those with no marketable skills..forget about buying in SoCal. just pray that you get qualified for sec 8 housing

[DougStark]

twis88 (OP), I'm not discouraging you to give Phoenix and the metro area a try. I like our area. But, I'd do a bit more travel to look at some other cities too. I'd say forget Los Angeles and the Bay area entirely. A young person like yourself could easily thrive in the San Diego area (although you'd probably need to rent and have a roommate or two.)

I'd also visit Sacramento. It's not nearly as expensive as the coastal cities and not as hot as Phoenix. Its location is also second to none and there's recreation galore.

[Kevroqs]

Originally Posted by clearlevel

California is a very limited and very scarce area when it comes to land, therefore, that pushes prices very high. If prices are that high, it's because people are buying them.

Maybe if the libs in California didn't let in millions of illegals, Americans in that state could afford property.

[payutenyodagimas]

Originally Posted by Kevdawgg

Maybe if the libs in California didn't let in millions of illegals, Americans in that state could afford property.

illegals can afford houses?

[FirebirdCamaro1220]

Originally Posted by payutenyodagimas

illegals can afford houses?

Illegal immigrants are not the cause of the high housing prices in California. They live on average 10-15 people per dwelling, compared to an average of 3 per dwelling for citizens, so they typically consume 20% as much housing as citizens, they aren't the issue.

[infocyde]

To The OP-

SoCal is beautiful, but it's glory days are behind it. To those who live in gated communities in nice houses in isolated neighborhoods it is still wonderful. For the rest it is beautiful hell of high crime, very expensive rent/housing, out of control traffic, populated with people who are either nuts or are miserable looking to get out.

I grew up there, and 80% of the people I kept in contact with after High School graduation are long gone. Skip Cali.

Arizona is a nice place. Living in Northern AZ totally different experience than living in Phoenix. Tuscon kind of it's own thing too. I'd recommend coming to the Phoenix metro first, establishing a base and then exploring the rest of the state for future moves. The heat sucks but is is just like an inverse Winter in Baltimore that you cans till drive 70 down the free way in.

Plus in Phoenix if the wonderful job ever goes away you have a decent chance of getting something else.

Good luck.