But here’s my take. So far SoCal has been doing well because jobs are plenty there. But one thing I think will happen…SoCal (specifically LA) will probably have a nasty downturn once defense spending decreases…a good portion of the SoCal’s economy depends on the defense industry still. I remember the 80’s downturn there all too well (I remember being in 7th grade and my MechDrawing teacher complaining that he got wiped out because he “invested” too much in real estate at the peak…At that time, everyone was buying real estate, just like in 2002…Even school grade teachers who were otherwise clueless about investing were “in the market”.)
San Diego use to be the same way from my understanding, although i believe over the past 10 years it’s sort of more diversified now. There’s still some defense exposure, but not quite the same level as i believe in the 80’s.
