[quote=bearishgurl]desmond, this is all due to massive overbuilding in both the residential and commercial sectors. I haven’t been there for over 3 years but EVEN THEN, I noticed it was getting very overbuilt with many vacancies.
I did know a former co-worker who lives in Chula Vista who bought a rental house there in about ’99 and lost it in ’06 or ’07. She couldn’t keep a tenant in it and couldn’t keep it going without a tenant. When the value started to fall below what she owed, she let it go and lost her 10% downpayment.
I think a lot of lower-income Angelenos started moving up there in the mid-late 90’s, thinking it would be easy to get a job there.
Obviously, they didn’t realize that many of the casinos are union and are very picky about who they hire, i.e. weight, looks, demeanor, background check, eligible for bonding, customer svc. background and specialized skills such as craps dealing, roulette, etc. Most have a LOT of applicants for every job opening to choose from as many of the locals have gone to school to be certified in gaming jobs.
Many transferring-in resident-homeowners in recent years probably did get jobs for a little while and got laid off or brought in large downpayments from selling their homes in CA and bought with NINA loans, causing a huge bubble there. (sound familiar?)
It’s a mess. I have no doubt that whole streets are virtual ghost towns now.[/quote]
Ah yes… I remember the spill-over effect of speculation in CA “RE investors”…Here’s how it went
1)Speculation pushing up CA prices to the point people began speculating in CA areas which made no sense….Palmdale, Stockton, Sacramento,etc.
2)Once those areas became ridiculous…Spillover effect into Nevada….
3)Once those areas became ridiculous….Spillover effect into Arizona…
4)Then Oregon got into the party…
5)Even New Mexico…..
Been there, done that. Attended all the “investor groups” that toured these areas seeking CA “investors”…(Even got some nice free flights and accomodations…).
You think vegas is bad, can you imagine places like Stockton is going to be like?
