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September/October 2003
NOT A BUBBLE!
Southern California homes continue to increase in price
and sell quickly. This is true for homes, condos, and
townhomes. Some people wonder when it will stop. It
won't.
Traditionally Southern California home prices "slow
down" in a recession , but don't drop! We went
through the last recession with prices increasing. People
in Southern California buy homes to live in and enjoy;
mostly not by investment. When most homes are bought
for investment, many people try to sell at once when
the market goes down. That is bad and does not happen
here.
We have the lowest interest rate in the past 30 years.
More people can buy larger homes; First-time young buyers
can buy the homes they sell.
Southern California continues to grow and prosper.
From 1998 to 2002 the population in California grew
by 2.3 million! We all know the story of demand and
supply. This is a desirable place to buy to live, invest
and have fun. NOT A BUBBLE.
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