California's housing shortage is getting rapidly worse.
And it will keep getting worse, because we are still building 80,000 units when we need 180,000 unites per year. That does not include all the catching up we need to do from not building enough in the last 10 years. If it wasn't for the hard to get mortgage loans, prices would be a lot higher. However, mortgages are getting easier to get, and the shortage continues to get worse. What does that tell you? A lot higher prices. You aint seen nothing yet.
Job losses jolt Bay Area, South Bay, San Francisco http://www.mercurynews.com/2017/09/15/job-losses-jolt-bay-area-south-bay-san-francisco/ “The main constraint on economic growth right now is housing,” said Robert Kleinhenz, executive director of economic research with Beacon Economics and UC Riverside’s School of Business. “And it doesn’t matter if you are a homeowner or a renter. The rent burden is also quite high across the state and in the Bay Area.”
This is what we discussed all along. These housing forces so far were propelling the economy. Many profited from this shit. Even if it wasn't planned that way, everyone let it happen. But it was always obvious that it would turn into a large negative. And it's just starting. Unless authorities start really panicking, the silicon valley will be ripped apart. NIMBY politics will reverse violently.
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