L.A. is the most unaffordable housing market in the entire country. Beyond the pretense that everyone is rich and has 钱 stashed in their backyards being guarded by Chihuahuas with cubic zirconia necklaces, most in California are living deep in 债务. Those 购买ing homes 至 day are either 投资人, wealthy foreigners, or locals leveraging 至 the max for that 很棒的废话窝棚. 什么 makes the LA/OC market the most unaffordable is that wages flat out do not justify current home prices. Since LA is a 多数承租人县, it is important 至 look at dynamics in this group. One study from UCLA found that LA renters devote nearly 50 percent of their income 至 rent. Taco Tuesday isn’t only a baby boomer mainstay, it is a necessity 至 pay the rent. The disconnect only got more profound over the last two years. Housing prices in the LA/OC area went up by 28 percent while wages went up by 2 percent. Thanks 至 maximum leverage loans, big investor demand, and low interest rates, people can 购买 a $700,000 crap shack and pretend they are truly rolling deep in cash. All the data coming out is showing that many are flat out pretending and living paycheck 至 paycheck, even with expensive budgets.
很高兴看到更多的人看到真正的脱节。我们所看到的只是更多的钱被抽到了房地产行业。现在对垃圾棚屋提出的理由数量是2006年和2007年的最高水平。 光荣的交易 您可以拥有并成为我们的客人，花700,000美元购买一个需要进行重大改造的盒子，并将自己锁定在30年的抵押贷款中。
这不仅发生在富裕地区。事实上，在过去的两年中，底特律可以以500美元的价格购买房屋，价格上涨了57％，而工资却上涨了4％。这在很大程度上受到了投资者的推动（就像上图中的许多其他领域一样）。旧金山的房价从本来很高的水平上涨了惊人的37％，而工资却上涨了7％。在总是阳光充沛的洛杉矶/ OC，价格上涨了28％，而工资却上涨了2％。然后我们惊讶地发现 像场景出租大决战.
Bubbles occur when prices rise because of irrational behavior. Many people 购买ing in the LA/OC area are 购买ing with the underlying notion that prices will only continue 至 go up. They are 购买ing their ugly crap shack in hopes they can build some equity and move into their semi-ugly crap shack and then finally into their dream property ladder property. This idea that people 购买 and stay put is nonsense, at least when looking at data. The fact that we have gained so many more renter households in California is merely a testament 至 people being unable 至 afford homes, even with 低首付贷款冲击市场.
销量仍然很低。您有很多婴儿潮一代看到他们成年的孩子回家，因为他们无法在当前的住房市场上竞争。至少他们可以跳到纯素食市场，一起品尝美味的沙拉，然后回到他们的烂摊子。同样，当您查看有关 托伦斯房屋块 you find that most people bought at reasonable prices compared 至 incomes at the time. In fact, virtually the entire neighborhood would be priced out if they had 至 购买 至 day. I’ve seen this in Pasadena, Huntington Beach, and Culver City where one older neighbor is walking into the house with 99 Cents Store only shopping bags and Wal-Mart bags while another is pulling into their new purchase with Whole Paychecks bags and a 租d Tesla plus the gift of paying 10 times more in 财产税es just because they were born at the wrong time. It is funny how the anti-legislation crowd is more than happy 至 keep Prop 13 legislation as long as it 本efits them directly. It is also the irony of San Francisco that in the 60s and 70s the city saw a young and largely poor artist crowd move in giving the city its vibe. Now NIMBYism is in full effect and even the middle class is being pushed out. Good luck being a regular artist in San Francisco and paying $4,000 a month for a studio full of roaches. Even highly paid tech workers are 出租.
The market right now is running on fumes and extremely low sales volume is a reflection of the chart above. 那 is, wages just can’t support current home prices without massive mortgage 债务. The investor crowd pulling back is having a big impact. Then again having a taco truck and vegan store on the same corner is the LA/OC way. But paying $ 700,000的垃圾屋 is different from 购买ing a $5 fusion taco.你喜欢这个职位吗？订阅Housing Bubble医生的博客以获取最新的住房评论，分析和信息