Skyrocketing housing prices in California are prompting nearly a quarter of the residents to seriously consider moving to areas with more affordable housing.
California had the nation’s third fastest rate of home price appreciation last year, behind Nevada and Hawaii.
Prices climbed more than 18 percent compared to the previous year, 84%in the past five years and a whopping 338 percent since 1980.
Less than one in five… 19%… of the state’s households can afford the median priced single-family detached home, which was $465,540 in September.
Guess what? Lots of these Californians are selling their homes for big dollars and moving to other states where they can buy a similar home for a fraction of the price.
Arizona and Nevada are prime target areas.
In those states the number of sales of homes to San Francisco Bay Area residents has risen by as much as (gulp!)6,000% percent. That huge demand forces prices up!
Here in the Phoenix area we are smack dab in the middleof a home buying frenzy. In the last three months we have put four of our rental homes on the market. Each of them sold in ONE DAY! Offers above asking price are common.
Real estate agents are tearing their hair out because theycan’t find homes for their buyers. Our listings with aflat rate discount broker prompted dozens of calls from desperate Realtors.
The other side of the coin is that it’s very hard tofind good renters. Anyone with the slightest record offinancial responsibility is buying a home.
If you are a cycle investor you buy near the bottom and sell near the top.
Is this the top in some areas? I can’t say, but when homes areselling a few hours after being listed it would seem toindicate that we can see the top from here.
If you are in a hot area it is the perfecttime to buy and flip.
You will find properties! Some you may be able to sell within5 or 6 days. Racking up a profit of five grand a week is notimpossible… if you are willing to put in the work.
With buy and flip you don’t have to worry whether or nota top is near. Using options just about eliminates anypossible risk. And a fast flip can be generated using the”How to Make Money In Real Estate Without Owning Property” system.
There’s money to be made… if you are nimble.