Corrections - Secondary markets are first. It's becoming pretty apparent that housing market correction doesn't bode well for the secondary California markets. These are markets that have been bouyed up by the bubble but whose fundamentals just do not support the price appreciation. They are just outside the major markets and include Bakersfield and parts of the Central valley. Most analysts are predicting major prices declines in these markets. TO my mind this makes complete sense as real estate is always highly regional. These markets were quickly driven up as they were the only affordable housing in the area - the problem of course is that the price of gas means that living in Bakersfield and commuting to Los Angeles is an incredibly expensive proposition. Add in a negative amortization loan which is going up, combined with negative equity and you are setting the market for some sharp price declines in the medium term and stagnated appreciation (probably below inflation) for the next 10 years.

Labels: Bakersfield, CaliforniaSecondaryMarkets, CentralValley, secondarymarkets

  ¶ Corrections - Secondary markets are first. 0 Comments

Millenium Holding Group Announces Agreement to Develop Real Estate in Barstow, California (Market Wire via Yahoo! Finance)

Labels: Bakersfield, Barstow, MilleniumHoldingGroup

  ¶ Millenium Holding Group Announces Agreement to Develop Real Estate in Barstow, California (Market Wire via Yahoo! Finance)

Bakersfield?! The new hot spot! Ok for those of you that have been to Bakersfield have know that it's always been a hot spot. George Lucas captured some of the sense of remoteness with Tattoine in the first Star Wars. That right, Tattoine was modeled after Bakersfield. I have alway dug Bakersfield, mainly compared to where I grew up in Indiana, the place seemed like a teeming metropolis yet with that country feel. Well Bakersfield is all grown up now. It's become the 11th largest city in California, and one of the fastest growing. As a result, it's also become one of the best real estate investments in California where small investors can still get into the market. Over the past two years homes have averaged 34% annual increase in home price. Here are some links to local real estate information

• Bakersfield Realtors
  
• Bakersfield Real Estate & Kern County
  

Labels: Bakersfield, BakersfieldRealEstate

  ¶ Bakersfield?! The new hot spot! 0 Comments