[quote=Gata]Housing market is due for a correction, prices are unsustainable when work is moving to other States/countries. A friend of mine who is a QCT senior engineer is scouting for a home in ATX as a result of this layoff. He is Mr. SD. QCT is hiring in TX, and opening a new design center. I believe many layoffs will come from SD, and hiring will occur in lower cost areas (such as India, ATX).[/quote]
Good luck to your friend, Gata and I hope he has a nice life in TX. I mean that … sincerely.
But you should be aware that IT DOESN’T MATTER how many homes in SD County are vacated and sold (or foreclosed upon) by QC employees/homeowners who have been laid off. They will quickly be resold and life will go on. There are plenty of buyers out there ready to pounce when a new listing comes out in their area of choice.
SD housing (esp vacant housing which is move-in ready) sells very quickly will continue to do so, and will not languish on the market, IMO.
The exception would be if a fairly new housing tract (<10 yrs old) which was situated close to QC (or other local company conducting mass layoffs) was primarily occupied by worker bees affected by current layoffs being conducted. That situation could create a (temporary) glut in that micro market due to too many homes of the same floorplan entering the market at once (the current owners all bought new construction in the year of the same hiring spree/time frame). But this inventory would likely still be absorbed, even if it took a few months longer than usual.
In the well-established areas of the county, a large percentage (50%+?) of single family homes (SFR's) at all price points are typically purchased with all cash and a lesser portion are purchased with 50%+ cash. And the majority of the balance of the long-owned SFRs in these areas which haven't been listed in decades are paid off, as well. So, in SD's most established areas, it doesn’t matter which local companies are currently hiring or laying off because the vast majority of homeowners there are NOT W-2 employees and never will be.
I don’t think ANY area in SD County is due for a correction. I believe that some micro-areas of the county are still a bit undervalued.
