[quote=CA renter]. . . Housing is largely affected by credit, and it afford the greatest number of people to leverage the greatest amount of money possible. Because of this, a credit expansion can cause housing prices to rise without a commensurate increase in wages. . . [/quote]
CAR, I think we touched on this before somewhere on the boards, but in SOME areas of SD County, the price of housing is NOT so much affected by the availability or price of credit and/or whether or not workers are getting wage increases.
IMHO, many established areas in CA on or <5 mi from the coast, some areas <1.5 mi from a bay, or properties which are situated within covenants or exclusive resort areas do NOT fit into your credit availability/worker-status mold. In these areas, value is determined by exactly how much a buyer is willing to pay, period.
