Home sweet home -- impossible? Californians fear high prices may drive young people away

San Francisco Chronicle ^ | 11/18/4 | Kelly Zito

[SmithL]

More than 50 percent of California residents said in a survey being released today that they are very concerned that fast-rising home prices will lock out younger generations from the housing market.

That trend already appears under way for those ages 18 to 34, with 31 percent saying high housing costs are forcing them to ponder a move from their region or out of the state, according to the study by San Francisco's Public Policy Institute of California.

Researchers at the nonpartisan think tank say an exodus of young workers could undermine state's economy, especially in the Bay Area, which relies on a skilled, mobile labor pool to drive its dominant technology industry.

"If the younger adults are thinking about moving out of a metro area like the Bay Area, the question is, where do you get the workforce?" said Mark Baldassare, the institute's director of research. "Who's going to come in and replace the skilled workers that we're going to need for our economy?"

[jpl]

Same problem here in Long Island, NY. What's driving up the housing costs here is high demand.

Same thing here in the Washington DC area. I believe that pretty soon we'll get to a point where the prices become so high that demand will almost have to ease, and when that happens the selling prices will begin to ease as well.

[GnuHere]

That is truly insane.

[Prime Choice]

$569,000 would get you a mansion here in Central Texas.

And it'd buy twice the mansion in Iowa. I'm still trying to talk the wife into moving there. (Strangely, she flatly refuses to move to Texas. Dunno why.)

[Capriole]

OMG, that pathetic shack is $569,000? So in order to afford that at today's interest rates, you would have to put down about $113K, and have an income approaching $200,000 a year to make the payments, PITI. Do I have that right? Californians who are making two hundred grand a year live in dogruns like that?

[michaelbfree]

I can attest to that, I live in Washington. In the late 80's and early 90's they moved in here in droves, housing prices went through the roof and they brought their stinking politics with them. Washington used to be somewhat conservative until these liberal @holes moved in. Haven't had a repub governor since (until Rossi) - and they have F'ed up Washington just like they did their precious california.

[IllumiNaughtyByNature]

The scary part is people here are getting in with about 5% down and interest only loans. The defaults in the next few years is going to sky rocket. I finish my MBA in May and right after that I am going to get my real estate license to take advantage of them.

[Mr. Jeeves]

Please tell me this is a fierro joke.

There's a 3BD, 2BA, 1,400 square foot condo (no private garage) for sale down the street from my apartment building.

$859,000.

I'm afraid it isn't a joke.

[martin_fierro]

I'm series.

And stop calling me Shirley.

< |:)~

[Mr. K]

take that money and move to Buffalo where $500,000 will buy you a mansion.

or buy a GREAT house for $100,000 and retire on the rest of the money.

this is not the frozen tundra- we have 4 perfect and distinct seasons that last exactly 3 months each and then you are ready to move onto the next.

[Prime Choice]

Here in Irvine, CA 3-bedroom condos with NO GARAGE are going for $460K - $500K, no joke.

In Sierra Madre, a 900-square-foot shack with no garage on a postage-stamp piece of land is listed at $450K.

I'm saving my money to buy a house worth living in elsewhere.

[Mr Rogers]

Depends on where you are at in California. We just sold our 2100 sq ft house on 0.7 acres for $230,000. LA & SF and anything within a 2 hour drive are incredible. Outside that, ok prices are available.

Just bought a house in Tucson - the prices there are higher than the part of California we're leaving. And it looks like our property taxes will go UP in Arizona.

[Hildy]

BUFFALO? You're kidding, right? I went to school in Albany...so...NO THANK YOU!!! Going to a luxury Condo on the Colorado river in Arizona. Buying a jet ski and sailing into the sunset!!!

[lormand]

Austin Texas

$299,990
4 Bed
2.5 Bath
3,043 Sq. Ft.

Half the price of the ones shown above, and 3 times the sqft.

[AreaMan]

Out of staters are ruining Florida.

I agree. Not just the NE snowbirds but the toilet has been flushed in Latin America and the drain pipe goes to South Florida.

Harsh words? Yes. I was born in Cuba and my family emigrated from Cuba to the U.S. 30+ years ago. The first and second generation Cubans in Miami are appalled at the type of Cubans and others that are destroying Miami.

You've got the 3rd world in South Florida.

[LizardQueen]

Geez. What are the salaries like there? How the heck can anyone afford to buy them at these prices? And if they can't afford to get in, why is the demand still so high?

Just nuts....

LQ

[TheDon]

What nonsense.

[native texan]

I would say come to Texas, but you have to be Republican, conservative, and true to the standards of Texas. You have to put up with cowboys, college professors, a lot of international people....and preferably be a Christian/Jew! Oh, and you have to be willing to secede from the Union if that time arrives!! And you have to yell for the TAMU Aggies. LOL

[.38sw]

That is happening in many neighborhoods, but I still wouldn't move to Richmond.

[stainlessbanner]

You are spot on. I have some friends who came over on the boatlift - they are upstanding, fine citizens and resent what others have done to their neighborhoods.