New Urban Crisis - Richard Florida

Submitted by FlyerInHi on June 29, 2017 - 5:24pm.

Finally read his article in the Atlantic. He was so right about the rise of the cities and the new wealth created. Lucky us that San Diego is a top tier US city.

My cousin was telling me how his sister made a mistake moving from Boston to the Midwest decades ago. She missed out on real estate appreciation.

https://www.theatlantic.com/business/arc...
The most important and innovative industries and the most talented, most ambitious, and wealthiest people are converging as never before in a relative handful of leading superstar cities that are knowledge and tech hubs. This small group of elite places forge ever forward, while most others struggle, stagnate, or fall behind. This process is one I like to call winner-take-all urbanism.

Submitted by The-Shoveler on June 29, 2017 - 10:35pm.

Well actually I find Canada is quite a bit different than USA but the point is taken.

Cashing out and moving out of state to a low cost region may be a good move for some but you better be sure because it is almost impossible to come back (me I plan on never leaving SoCal)

I would say the same for downsizing, you better be sure because you may never be able to move up again, especially once you retire (and moving from a SFH to a condo almost never works out well).

I will add this one note: I have never known anyone from SoCal who has moved out of state and was still happy about it a few years later (well maybe except the one guy who retired on Maui).

Submitted by FlyerInHi on June 30, 2017 - 8:46pm.

The-Shoveler wrote:
you better be sure because it is almost impossible to come back (me I plan on never leaving SoCal)

I would say the same for downsizing, you better be sure because you may never be able to move up again, especially once you retire (and moving from a SFH to a condo almost never works out well).

Florida addresses this issue.

If we assume that SoCal is a superstar region.... we attract the brightest who want to be here or feel they need to be here. That increases costs and raises the bar for new entrants who need to be more talented to climb the higher wall to get here. So if you exit, you may not return unless you improve your skills, competitiveness or wherewithal.

The domestic and international immigrants to California are more skilled and/or more hardworking than ever. They must have higher skills to deal with the higher costs. Living several families to a house is a skill and hardwork, just like getting a high skill job. Not everyone can do it.

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