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This Housing Boom Is One Of The Largest Ever!! Solana Beach 92075


Did you know California’s housing boom for the last 6 years is one of the largest in history!

Since consumer price measures began in the early 1900’s this price boom is the third largest in history and the national home price average has increased 53% since 9/18. So nationally a sales price of $200K in 2012 would have sold for over $300K at the end of 2018, and more significantly in parts of California the increase has gone from $300k in 1/2012 to $557K at the end of 2018, an unbelievable increase of 86% over six years according to Zillow.

Which means that this boom is only second to the price boom that happened in the years immediately following the end of World War II.
As with all good things, all home booms come to an end eventually. While the post-WWII boom ended in an easy decline, the Millennium Boom came to a significant crash.

Experts predict that a decline in home prices may happen because building permits and sales volume point to a slowdown ahead. With that said, this kind of home price magnitude is so rare, predicting and outcome is not totally full proof. For example, ordinarily price movement can be tied to Gross domestic product however in 2012 – 2017 the GDP rose comparatively less, just 19%. Because there’s the factor and unpredictability of the emotional aspect of individual decision making. Suggesting possibly more government intervention is needed to reduce the unpredictable effects.

Still, even with the unpredictability of human emotions to contend with, we can still make some presumptions about the future of the housing market.


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