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SF Real Estate 101

Why is Housing So Expensive in CA?

8/1/2019

5 Comments

 
SF homes near North Beach and Coit Tower
It is simply a matter of supply and demand. The supply of houses is growing very slowly because of opposition from current property owners and the governments that represent them. Jobs, which draw new workers, gave been growing at a rate of 7 to ten times the number of new housing units. As those new workers compete for the existing housing units, some one will win the day by offering more money, and so raising the market price.
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As this is repeated, the price of housing continues to rise. And it won’t adjust until the number of jobs decreases or the number of homes increase.

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