IMO < the illegal immigrants drove California’s property prices sky high. Why do I say this?
When you toss in millions of new people to a region, you increase the demand for property. It’s as simple as that.
While some folks would wonder how they can afford homes, most folks don’t think in terms of two or more families living in a single family dwelling. Some of the middle class homes from the 60s, 70s, and 80s are now sporting two families and bits of three more. Some are just flat out housing three to five families.
All these people contribute to the pool of funds. They make it work.
They come from Mexico where the standard of living for many of them is much worse than it is here. Even crammed into a single family dwelling, it’s still better than living in Mexico.
One single middle-class family can’t buy a home here, because so many homes have become two family or more dwellings.
If all we had here were citizens competing for homes on a one family per unit basis, the home prices would not be so elevated.
Also the cartels bring in hundreds of billions...For a long time they had so much money they trouble moving the money or buying big ticket items. So they funneled the money to extended families etc...In turn they purchased businesses and homes all over the LA area. Prices were of little concern.
And ask the realtors about wealthy foreign nationals buying up homes in S. CA. They’ll tell ya.