Highest increase in home prices from March 2020-October 2024, Irvine, CA 83 percent gain (yes 83 percent)

GON

GON

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California demonstrates it is the king of home price gains. Taxes, regulations, policies-- do not negatively impact California home prices on a MACRO basis. I suspect major legal immigration, primarily from Asia, will keep California real estate home prices with some of the highest ROI for the foreseeable future.

Still amazing if one purchased a single-family home in Irvine, CA in MAR 2020, the home valued almost doubled five years later. WOW...

Link to the graphic that allows one to blow up the graphic for better viewing:
https://www.mortgagecalculator.org/helpful-advice/home-price-growth-since-pandemic.php?

home-price-increases-cince-covid-19.webp
 
To determine the average price of homes in each city, we used the Zillow Home Value Index
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I'd be suspicious of this. Zillow's Home Value Index is so unreliable, not even Zillow believes it anymore:
We’ve determined the unpredictability in forecasting home prices far exceeds what we anticipated and continuing to scale Zillow Offers would result in too much earnings and balance-sheet volatility,
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That's Zillow CEO Rich Barton in 2021 after their home buying excursion, iBuying, failed and had to close up shop. Using their own data and algorithms, Zillow sought to buy undervalued homes and flip them for a profit. Turns out their data was totally wrong and their algorithmically derived values were bunk. This lesson cost Zillow over $300 million. Their algorithm consistently overvalues properties.
But the biggest issue is that its algorithm simply wasn’t up to snuff. It couldn’t deal with the complexities of pricing in a volatile market and resulted in Zillow overpaying for a lot of property.
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https://www.theguardian.com/business/2021/nov/04/zillow-homes-buying-selling-flip-flop
 
Yes, Zillow has everything overpriced and sellers constantly reducing their asking price.
 
MrHorspwer said:
I'd be suspicious of this. Zillow's Home Value Index is so unreliable, not even Zillow believes it anymore:

That's Zillow CEO Rich Barton in 2021 after their home buying excursion, iBuying, failed and had to close up shop. Using their own data and algorithms, Zillow sought to buy undervalued homes and flip them for a profit. Turns out their data was totally wrong and their algorithmically derived values were bunk. This lesson cost Zillow over $300 million. Their algorithm consistently overvalues properties.

https://www.theguardian.com/business/2021/nov/04/zillow-homes-buying-selling-flip-flop
Click to expand...
Searching for over five years, I had not uncovered a single undervalued home, not one. My search for an undervalued home was daily listings in multiple states to include Arizona, Arkansas, South Dakota, Utah, Colorado, Texas, Idaho, Montana, Nebraska, Kansas. My search did identify (arguably) Southern Louisiana as the most home for the money in the US south of the Mason-Dixon line.

Of note- we purchased a home in New Mexico in AUG 2024. We paid $30k USD above listing price, waived appraisal, and inspection. The home in New Mexico was/ is a good home. Homes that are not going under contract in today's market in under 48 hours are more likely than not overpriced, or simply not so desirable.
 
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Califotrnia is a big state; not all places are so expensive and not all appreciate so much.
The reason prices are high anywhere, not just Silicon Valley or whereever, is there is opportunity there, aka money.

Crazy high home prices are a double edged sword. Sure equity is nice, but the parents on my street tell me they fear their kids will never be able to live here.

Or maybe it's the sunshine?
 
edyvw said:
We bought the place in San Diego in 2010, during the real estate crisis. By far the best investment. We lived there, and we have other real estate investments, but nothing comes close to CA. Our primary home in CO doubled in value over last 11yrs, but it is still not comparable to a place in San Diego.
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Well done Edy. I was in San Diego on Saturday, Ocean Beach. Pretty old skool bohemian...
OMG the food in San Diego is the best! Las Cuatro Milpas in the Barrio Logan! And the cars!!!!
 
JeffKeryk said:
Califotrnia is a big state; not all places are so expensive and not all appreciate so much.
The reason prices are high anywhere, not just Silicon Valley or whereever, is there is opportunity there, aka money.

Crazy high home prices are a double edged sword. Sure equity is nice, but the parents on my street tell me they fear their kids will never be able to live here.

Or maybe it's the sunshine?
Click to expand...
It is a double-edged sword.
Living there, I saw a lot of people making questionable choices just to be in San Diego, although they really cannot afford it (nor are they doing something about it).
Yes, there is a lot of money to make it, but an average person? Not so much as living costs are high. Also, a lot of this is caused by NIMBY's.
 
Here is an example of a low middle income to high middle income area in the northeast.
Prices to older people seem crazy all over and I guess they are.

Just keep in mind this is a county with 1 million more people living in it than Irvine California being this is a whole County
I don’t know what county Irvine is in

However, I can’t find a graph from March 2020 I suspect Nassau County’s prices started going up before that
https://www.realtytrac.com/market-trends/nassau-county-ny/

Statistics can be tricky. It just depends what timeframe you cherry pick from.
For example, the last couple years in Irvine have not been as good as the chart may imply or should I say news article
You can choose 1, 3, 5 years from the chart below

In the link below, there is also a neat little Calculator where you could enter any place in the United States to compare to other areas

https://www.redfin.com/city/9361/CA/Irvine/housing-market
 
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alarmguy said:
Here is an example of a low middle income to high middle income area in the northeast.
Prices to older people seem crazy all over and I guess they are.

Just keep in mind this is a county with 1 million more people living in it than Irvine California being this is a whole County
I don’t know what county Irvine is in

However, I can’t find a graph from March 2020 I suspect Nassau County’s prices started going up before that
https://www.realtytrac.com/market-trends/nassau-county-ny/
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Irvine is in Orange County.
It has a high cost of living index and is one of the most expensive cities in the United States.

It is misleading to use Irvine's cost of living to the rest of California. But yeah, it's pricey.
Must be the sunshine?
 
Irvine has always been underpriced IMO. It is a fantastic place to raise a family and is conveniently located for commuting and entertainment.

Market clearly agrees with this and has priced the properties accordingly.
 
The Critic said:
Irvine has always been underpriced IMO. It is a fantastic place to raise a family and is conveniently located for commuting and entertainment.

Market clearly agrees with this and has priced the properties accordingly.
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I couldn't agree more, absolutely love that place.
 
JeffKeryk said:
Califotrnia is a big state; not all places are so expensive and not all appreciate so much.
The reason prices are high anywhere, not just Silicon Valley or whereever, is there is opportunity there, aka money.

Crazy high home prices are a double edged sword. Sure equity is nice, but the parents on my street tell me they fear their kids will never be able to live here.

Or maybe it's the sunshine?
Click to expand...
OK-Jeff. I spent 55 years in (Southern) California.
Name a few of those areas that are not expensive-where somebody would want to live.
Example-Bakersfield used to be dirt cheap. Now-it's one of the top places people are looking. At there is ZERO desirability (IMHO) living in Bakersfield. Personally-I don't get it-but property appreciation says otherwise.
 
CKN said:
OK-Jeff. I spent 55 years in (Southern) California.
Name a few of those areas that are not expensive-where somebody would want to live.
Click to expand...
There are some parts of the inland empire, such as Corona that can be desirable.
 
CKN said:
OK-Jeff. I spent 55 years in (Southern) California.
Name a few of those areas that are not expensive-where somebody would want to live.
Example-Bakersfield used to be dirt cheap. Now-it's one of the top places people are looking. At there is ZERO desirability (IMHO) living in Bakersfield. Personally-I don't get it-but property appreciation says otherwise.
Click to expand...
I have become partial to the wine country. We have a home in Petaluma. I'm sure you know the wonderful northern coast.
1738100142331.webp
 
CKN said:
OK-Jeff. I spent 55 years in (Southern) California.
Name a few of those areas that are not expensive-where somebody would want to live.
Example-Bakersfield used to be dirt cheap. Now-it's one of the top places people are looking. At there is ZERO desirability (IMHO) living in Bakersfield. Personally-I don't get it-but property appreciation says otherwise.
Click to expand...

California Dreaming is dead for the average income person.
 
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