How do average people afford houses in California? (Fullerton: rent, condo)

[logybogy]

The most common ways I can think of:

* Your parents or other relatives who bought a house in the 1970's or before die and you inherit their old house

* Your well-to-do parents buy you a house or give you a substantial down payment

* You lie about your income and get a no money down or negative amortization loan on that $500,000 3/2 ranch and pray your income increases

* You live in an outlying area 50 miles or more from major employment centers

* You live in a high-crime area or otherwise undesirable area

* You ditch the single family home dream and live in a cramped condo

[Starrynight227]

Or...
You scrimp and save early on, buy the condo and slowly move up the property ladder, always keeping your mortgage amount about the same.

[EscapeCalifornia]

Originally Posted by logybogy

The most common ways I can think of:

* Your parents or other relatives who bought a house in the 1970's or before die and you inherit their old house

* Your well-to-do parents buy you a house or give you a substantial down payment

* You lie about your income and get a no money down or negative amortization loan on that $500,000 3/2 ranch and pray your income increases

* You live in an outlying area 50 miles or more from major employment centers

* You live in a high-crime area or otherwise undesirable area

* You ditch the single family home dream and live in a cramped condo

I'll add:

* You bought 5 years ago at half the price

* You rent out the garage, living room, and two bedrooms to illegal aliens

* You don't, and leave the state

[CantWait2Bthere]

Sounds like someone is jelous of us homeowners?

[EscapeCalifornia]

Originally Posted by CantWait2Bthere

Sounds like someone is jelous of us homeowners?

If that was directed at me, I do own a home. But I'm leaving because I don't want to be house poor for the rest of my life. California is doing a great job at driving out the middle and upper middle classes.

[whowants2know]

Originally Posted by EscapeCalifornia

If that was directed at me, I do own a home. But I'm leaving because I don't want to be house poor for the rest of my life. California is doing a great job at driving out the middle and upper middle classes.

You hit the nail on the head! We chose not to be house poor either and left CA. Now we can afford to buy a car, food, clothes, etc., go on great vacations every year, have weekend getaways if we choose...and basically have a life!

We do miss the mild winters, but other than that, we are more than content now! Best decision we ever made in our lives.

[NYSD1995]

You forgot a couple:

- bust your ass for years and years gaining the education and experience you need to have a high paying career.

- marry someone who busted their ass for years and years to gain the experience and education you need to have a high-paying career.

The idea that everyone who owns a home is either on a trust fund or up to their eyeballs in debt is insulting to those of us who worked hard and make enough money to afford a home here.

[NewToCA]

Some of us have moved to California and were able to find and buy a decent home without participating in the housing run up.

Sassberto said it well, work hard, save through the years and have objectives. The housing prices were not dictated externally, they are economic reality. Sure, excessive speculation lead to overvaluation, but prices aren't going to come down as much as some of you hope.

I don't understand why folks who bought out here over five years ago would be house poor, the prices weren't that high back then. Is it more that you want to get out your equity and have supplemental income? If so, that is a bonus that folks back in the midwest don't have. And the midwest, which never had the housing price run up, is experiencing the slump too.

[RobE]

By the same token, though, Cal State Fullerton and other California universities are having trouble attracting professors due to the housing prices. And young college graduates are increasinly moving out of state, too, because of they are just too much for a lot of people. So it is tough.

[Roma]

Originally Posted by Sassberto

You forgot a couple:

- bust your ass for years and years gaining the education and experience you need to have a high paying career.

- marry someone who busted their ass for years and years to gain the experience and education you need to have a high-paying career.

The idea that everyone who owns a home is either on a trust fund or up to their eyeballs in debt is insulting to those of us who worked hard and make enough money to afford a home here.

I love this comment because it's true and it hits home.....That's what we did.

My husband busted his ass for years and years gaining the education and experience he needed to have a high paying career and I was smart enough to fall in love with him and marry him.