A report released Wednesday highlights one sign of an improving economy: rising housing prices. San Francisco realtor Thea Miller hopes people will move west.
By Kevin Hewston
The popular quote by 19th-century American author Horace Greeley to “Go West, young man” may be true once again. Housing costs especially made people move out of California recently, leaving it a mostly native population as it was in 1900. People who moved to California from out of state reached a 100-year low of about 20% in 2010. Moreover, the decade measured by the most current U.S.Census was the first in a century in which the majority of Californians were native-born. But a report released two days ago may bring back the out-of-staters, and history is set to repeat itself.
The Los Angeles Times reported that data in November of 2011. A little over a year later, its news could see people once again returning to the state. The Standard & Poor’s/Case-Shiller Home Price Indices of 20 large cities notes the remarkable, sustained recovery in housing prices. The west is enjoying a modest level of recovery for being hardest hit by the housing bubble that sparked the recent recession.
Figures released Wednesday by the leading measure of U.S. home prices saw annual returns, or rates of change in home prices, up 4.3 percent over twelve months ending October 2012 compared to last year. That number was up from 3.0 percent only the month before. California cities showed great gains in late 2012 and from last year, as noted by the report. Los Angeles, Calif. saw 0.6 percent growth for the month October/ September and 1.0 percent change for August/September. Compared with last year, housing prices for the metropolitan area increased 6.2 percent.
San Diego, which boasted nine consecutive monthly gains, showed positive growth of 1.4 percent during August/September and 1.3 percent for September/October. The metropolitan center ended at an October 2012 level of 162.10 with a 6.0 percent change from last year. San Francisco showed a September/October gain of 0.7 percent and rose 0.5 percent in August/September to end with a dramatic 8.9 percent change. Its level for October 2012 was 144.15.
It is quite surprising to note that San Francisco housing prices experienced rebound of 22.5 percent since the crippling housing bust. The San Francisco metro area, says the article, stands out as one of the most attractive areas nationwide for home buyers. The Bay Area also is a rapidly growing housing market thanks to the technology sector. Overall, the state represents the fact that coastal areas outpace inland areas in housing growth.
The increases mean that business will continue to be strong for Thea Miller. But she is quite happy for another reason. To Thea Miller, these numbers represent the West Coast as trendsetter and leader in housing prices and recovery in the nation.
About: Thea Miller is a luxury property specialist with TRI Coldwell, the #1 office in San Francisco. She focuses on luxury and high-end properties in the San Francisco Bay area.