“The early-1990s recession and housing bust have both been universally blamed on declining employment in the defense and aerospace manufacturing industries. In truth, that recession saw more job losses in real estate and construction than in manufacturing. The housing-related job losses that resulted from an unsustainable real estate boom had a big impact on the early-90s economy. They are doing so today as well.”
LA will not escape this. Here is a quote from David Streitfeld in the LA Times a while back;
“San Diego had the wildest run-up among major California cities, with prices tripling since the mid-1990s. … The market also began to fade first in San Diego. …
Whatever happens here, optimists and pessimists agree, will happen later in the rest of the state.”
IMO you are mistaking LA’s lag in the current cycle with market strength. It’s about year behind San Diego, that’s all. Orange County is taking the big hit right now in regards to volume.
