California Real Estate Market
The California Real Estate market has been booming.
The California Real Estate market has stopped seeing the appreciation that occurred the last few years. Home prices have stabilized and have continued to be supported by historically low interest rates and the demand for people to live in California and own real estate.
Many homeowners have been enjoying unprecedented appreciation rates.
Many are warning that the California market is heading for a bubble with worst case scenarios calling for a major crash in prices. So far in early 2006 prices in most areas of California are holding steady with sales activity slowing. Whether there will be a major crash, only time will tell but the more likely scenario would be a gentler softing of values in some of the markets near the coast that appear somewhat overvalued. While this may cause a worry for some quick flip type investors, average homeowners in California should not be greatly concerned. The Golden State has experienced dips in values in the past and has always rebounded. The outstanding climate and California lifestyle have always made living and owning property in the state very attractive.