NorCalUrban

Here is a 'hot off the presses' report on California housing affordablility from the State Department of Housing and Community Development. While I need to study the report further - there are some stark figures. The sub-prime crisis is (rightfully so) getting a lot of press right now. I've been watching the trends in East Palo Alto. There are currently about 130 houses on the market in EPA - in about 2.5 square miles. A significant number of them are bank owned (about 1/3). As we've investigated some properties, there are individuals who are purchasing them with cash. This tells me that investors are jumping on the opportunities. The outcome, I fear, will be played out with affordability issues in the coming years. I think, and this is soley my opinion, that we are seeing a temporary dip in housing prices that will pave the way for accelerated gentrification of East Palo Alto. The report states:  "Over four out of ten of all California households are renters, and...