Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Won't do it. The cost of housing is always going up, except for the occasional recession type drop, but shortly thereafter they go up beyond where they were. Zoning does not impact cost any significant amount. After all with the couple of changes in how many homes/apts can be built in what were SFH neighborhoods how much have prices dropped?
Tell that to your Governor, he disagrees with you, and so does the state legislature, the City of Scaramento, and 5 cities surrounding the Bay area because they are all changing the overly restrictive zoning laws to lower cost:
Most of these links point to overly restrictive zoning as being a major factor in Cali's affordable housing shortage. Now, the laws are changing so people will not have to leave in droves in the future.
Last edited by beach43ofus; 01-01-2022 at 09:56 AM..
Tell that to your Governor, he disagrees with you, and so does the state legislature, the City of Scaramento, and 5 cities surrounding the Bay area because they are all changing the overly restrictive zoning laws to lower cost:
Most of these links point to overly restrictive zoning as being a major factor in Cali's affordable housing shortage. Now, the laws are changing so people will not have to leave in droves in the future.
Won't work as supply and demand is the primary driving force. Zoning just increases the amount the cities collect in property taxes and the Gov't in taxes. Just look at the costs of the new multistory buildings going up in LA. No real price drop for sales. The zoning laws can impact it but generally do not as ... more people want to buy than there are homes for sale. This keeps prices going up. CA has grown in population and housing and ... prices always go up.
How in the world is zoning going to make housing more affordable? It's about supply and demand. The median sales price of a home in Reno is now 500k, about the same as Sacramento even though the median family income in Reno is $13,000 less than in Sacramento. Home prices in Reno are driven by people moving from more expensive places like California - so what's the answer, only sell homes to people who already live in Nevada? Or maybe Reno can fix this with zoning
Tell that to your Governor, he disagrees with you, and so does the state legislature, the City of Scaramento, and 5 cities surrounding the Bay area because they are all changing the overly restrictive zoning laws to lower cost:
Most of these links point to overly restrictive zoning as being a major factor in Cali's affordable housing shortage. Now, the laws are changing so people will not have to leave in droves in the future.
Obviously, high housing costs creates a significant affordability issue for the majority of California residents. That is those who are not already homeowners earning equity at a rapid clip. Many friends and family I know who own say they couldn't afford to buy their homes now even if they wanted to. So, good for them for getting in when they could even if by the skin of their teeth.
There's nothing wrong with considering every possible option for an opportunity to reduce housing costs. So, I don't fault these authors nor the others for trying. The problem is multifaceted and complex, one most native Californians were born into. Economists and policy makers have been looking for creative solutions to this for decades.
Realistically, after working in California real estate for many years as an appraiser, I can tell you that there is only so much that can be done. Real estate values are all based on One primary economic principle which all appraisers, realtors, developers and investors have drilled into them. That is what is known as the Market Approach. Homes are worth what the market will bear. So, if someone is willing to spend $1.5 million on an old, rundown two bed/one bath home near the coast, that is its true market value. And no amount of new laws or regulations will ever change that in a free market economy. It's supply and demand economics in its purest form.
Now, would it help if supply increased? Theoretically and generally speaking, yes. But there are realistic limits to what that will actually produce in terms of real affordability especially for the middle class. Let me give a real world example. In Monterey, where we last lived, it is one of the most beautiful coastal areas in the state. That is especially true if you consider the entire Monterey Bay up to Santa Cruz and the adjacent Big Sur coast to the south. These areas are nothing short of stunning. If anyone where to develop 100 or even 1000 new homes in this coastal region, you would still have very high demand with people from all over the world willing to spend millions for them. They would be fighting for them.
So, how does adding 1000 new homes in the Monterey Bay or places like San Diego help the middle income earner if those new homes still appraise and sell for over $1 million?
Do you see the bigger problem given that hordes of people willing and able to buy these homes the minute they go on the market? Even if supply goes up, it will be disproportionate to the greater demand. And that is the only way those $million+ prices will actually go down. If demand decreases, prices will eventually have to drop. But will they ever drop enough into the realm of affordability for the median income earner in those areas? Prices are just not going to drop that much, unfortunately. So, either their pay goes up or they buy in another less desirable region within the state.
Knowing all of this and watching it unfold, we decided if we wanted to buy a home for our family of 5, we would need to move inland. Many in the Bay Area are doing the same. That is moving to Sacramento or other inland locations if their jobs permit remote work or they can find another job. Otherwise, they are not going to see 'affordable' housing for first time buyers who are not already leveraging equity from their prior California homes.
Derek
Last edited by MtnSurfer; 01-01-2022 at 12:33 PM..
How in the world is zoning going to make housing more affordable?
Read the links in my prior post, they are extensive in explaining.
Cliff Notes: it increases the supply of available land, & increases the allowable density so more homes can be sold per acre which lowers the price.
Your Governor agrees with me, and your state lawmakers, & the City of Sacramento, 5 cities around the Bay area, the Yale University experts, & so many more, I wont take the time to post all the links.
At some point you'll need to make the effort to read what all of these people and institutions are saying.
If you wont make any effort, than nobody can help you learn that zoning impacts property prices.
Read the links in my prior post, they are extensive in explaining.
Cliff Notes: it increases the supply of available land, & increases the allowable density so more homes can be sold per acre which lowers the price.
Your Governor agrees with me, and your state lawmakers, & the City of Sacramento, 5 cities around the Bay area, the Yale University experts, & so many more, I wont take the time to post all the links.
At some point you'll need to make the effort to read what all of these people and institutions are saying.
If you wont make any effort, than nobody can help you learn that zoning impacts property prices.
You know we're not bashing, even if we're being accused of such. We here to offer an alternative view, present our opinions, offer some data support by experts, often the material is within their own state... and yet there's an echo chamber.
If Cali doesn't listen to experts on how to reduce housing costs, then more people will leave in 2020-2030 than left 2010-2020.
2010-2020 Cali lost the equivalent of the total population of New Mexico...~2M
2020-2030 could see even more leave Cali; based upon 2021 data. Potentially as many as now live in Nevada ~3M
Many there want others to leave. Trust me, Cali's gov't doesn't want taxpayers to leave, & retail businesses do not want to see consumers leave either.
This Harvard study from 2002 is the road map to follow. Cali's Governor & lawmakers are starting to follow it by changing zoning restrictions, as have the City of Sacramento, and 5 cities in the Bay area:
If Cali doesn't listen to experts on how to reduce housing costs, then more people will leave in 2020-2030 than left 2010-2020.
..
Many there want others to leave. Trust me, Cali's gov't doesn't want taxpayers to leave, & retail businesses do not want to see consumers leave either.
...
More land will be made available to build residential property upon, and it will be multi-family high-density to reduce costs.
No, the duplexes and condo's won't be overooking Big Sur, or Monterrey, because the land there is too valuable, it will be inland.
I think we are going to see a continued trend in California post Covid. That is, folks in the larger metro areas who can now work remotely, some for the first time, will begin to spread out within the state.
Sacramento and other inland locations are growing quickly because of this. Rezoning of 'farm lands' to residential can help some. One has to keep in mind that much of this farm land is in the less than desirable part of the state with some of the worst smog in the nation. So, not everyone wants to move there even if they can get a cheaper home. Especially if a family member has respiratory issues and even if they don't, similar health related problems can arise once living there. While living in Monterey, we had a number of San Joaquin Valley refugees who moved to the coast due to debilitating respiratory problems. So, they happily gave up their more affordable homes in 'the Valley' to breath fresh air at the coast while living in a small apartment some of those times.
There won't be any silver bullets for 40 million residents needing housing. But policy makers will attempt to make a dent in housing costs. And sure, some of these recommendations 'by the experts' will be attempted through various bills, etc...
I do see more moving primarily from the coast and large economic metro hubs (LA, SD, OC, Bay Area). But those places won't become ghost towns nor affordable for the middle class any time soon. These places are in high demand and will remain that way within our lifetimes and beyond.
Since California is a huge state there is a lot of land to potentially spread out to as residents search for more affordable housing. However, there is only so much they will want to accept before considering other states in such moves. Everyone has their own preferences determining what Quality of Life means for them. And simply owning a home on a piece of land in the middle of 'somewhere' doesn't equate to a greater QOL.
Moving from Monterey, having lived out of state before, we had a bit more realistic idea of the tradeoffs than our younger selves did after living in Colorado. Everything comes with trade-offs. So, for us that meant somewhere we could afford in-state that also had access to outdoor things we enjoyed or somewhere out of state with desirable features of its own. These are some of the trade-off considerations going through most California residents' minds as they survey their options and consider their move to more affordable locations.
Did you read the Berkley PDF I posted and the links from beach? It's presents many alternatives to antiquated zoning laws. look over the material posted and comment on the possibilities presented.
Quote:
Originally Posted by beach43ofus
Read the links in my prior post, they are extensive in explaining.
Cliff Notes: it increases the supply of available land, & increases the allowable density so more homes can be sold per acre which lowers the price.Your Governor agrees with me, and your state lawmakers, & the City of Sacramento, 5 cities around the Bay area, the Yale University experts, & so many more, I wont take the time to post all the links. At some point you'll need to make the effort to read what all of these people and institutions are saying. If you wont make any effort, than nobody can help you learn that zoning impacts property prices.
You two keep going on about zoning being the answer to the housing crisis and clutching pearls because Newsom won't do anything about it, were you even aware that in September Newsom signed two significant zoning bills?
Quote:
"Senate Bill 9, makes it possible to build more than one housing unit on land that was previously designated for only one unit. The second, SB 10, allows for denser development near public transit corridors, such as bus and train lines." https://www.latimes.com/homeless-hou...-in-california
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
