Let's talk a bit about the RealEstate market in Hollywood CA.

RedFive

My sister and her husband bought a house for like 750k a couple years ago. They have been offered 950k for it currently. They are both in the Biz (not like SoCals biz [img]/images/graemlins/laughing.gif[/img]). They have a new daughter and want a place that doesn't have a pool. And they are planning on getting out of Hollywood over the next 4 years.

Housing prices are up in part from low interest rates. Should they buy another place in Hollywood or rent for a few years.

Let me know what you guys think about the real estate market in Hollywood and what you think they should do.

Jamie

Buying would make more sense..

Makara

My place has gone up in value a lot in the year I have owned it. I'd say buy. Where in hollywood are they looking?

Smokin

I would say that the real estate market in California would be a healthy investment over the LONG TERM. Although interest rates are currently low, its questionable on what theyll be doing in the next couple of years. If they go too high, youll see 10-15% corrections nationwide. Thing with california is that Northern California typically, especially the SF bay area sets the real estate trends for the state. What happens there eventually happens in Socal a couple months later, and then Sacramento. San Jose and the Silicon Valley had the LARGEST shrinkage in population last year. Thing is, real estate there is still relatively strong. Whats kind of strange is the appreciation of their real estate. Although 750K-950K is decent, thats about a 22% increase over several years. Thats not too good for california when other areas of the state have been seeing 15-20% year over year. They should choose a GOOD area, and so as long as they dont plan on pulling out immediately, id say buy something in the mid-range...of course mid-range in whatever market area they are in.

RedFive

What in the hell is making the RE market in Hollywood continue to climb?

Do you think that perhpas, given the tech advances, that people who make movies and such may be able to do this somewhere else?


I know they can't crowd many more people into this area. So the market has become expensive. im just wondering if it is reasonable to expect this growth to continue.

Smokin

California real estate values have pretty much ALWAYS increased. There were some corrections along the way, but its the climate, area, and basic high demand, short supply scenario.

Makara

There are a lot of places that are opening up to filming, Canada, New Zealand, Prauge, Australia, and what not. The thing is, the film industry is centered around Hollywood and a great deal of the people who know how to make a movie live here. The cameras are here, the lights are here, the stages are here. Hell, it is nice living here too.

SeriousEric

And soon they'll be there ... in Bangladesh.

AUSTIN

Red, tell them to move to TX. They can get a 4000 sq. ft. home for $200k and just save the rest.

Makara

Well there already are facilities in all of the places that I mentioned that are cheaper to film in but Hollywood still has the stronghold.

Biggest

My son and I just got back from looking at schools there and playing some golf. We spent a night at LA Roadster's home in Palos Verdes and man is it nice! [img]/images/graemlins/smiles[/img] Thanks again Mark! :thumb:

I could sure see why so many people want to live in Kali, although the traffic and pollution really suck.

There was an article in the paper where a school teacher just bought a 25 year old home for $295,000... 900 square feet! Mortgage payment took up half of her income. That is fuckin insane. 1mm and you can probably get a 3,000 sq/ft home nothing special. If you're in Kali already then great, if you're looking to move there check other options, IMHO.

Lawrenzo

Hey Makara, is it still Christmas time in Hollywood? You are like one of my neighbors- they leave their Christmas lights up year round [img]/images/graemlins/sad[/img]

Lose the hat, and while your at it lose the bikini top [img]/images/graemlins/smiles[/img]


As far as RE here in CA- the "learned" conscensus is that it will keep going up, but at a lesser rate. However, as Smokin said, if rates spike up more than a point or two in the coming year(highly unlikely) it could cause a downturn in values. Cash is king in that scenario, and many other times as well!

Smokin

a 4000SF $200K home is a PIECE OF SHIT no matter where you are in the country.

RedFive

I just can't help but think that at some point people are going to come to their senses and realize that there are much higher quality of life places where they can live at a better price and still get done doing whatever it is that they do...(yes, my english teacher would have a cow if she read that)

Smokin

Dont be so sure Red. Although I do like Texas, I also see the value in California. For those who havent lived there, you might not be able to appreciate what you havent experienced. You cant forget that you have literally TWICE as many sunny days as you do elsewhere. Youll never say "its humid today". You can expect pretty much year round 60-80's with the occasional hot day and the occasional cold day for a week or two a year. You can literally be on the beach one day and in a world class ski resort that same day. Thing is, real estate is expensive, WAY TOO EXPENSIVE, but thats discretional. The women are also ugly compared to what you find here in Texas.

RedFive

Smoke,

You need to check out the girls we have in KY. I'm not shitting you. I've been to about 26 different countries and many states and have yet to find a comparison. We got some Smoking Girls round here.

Makara

I have tried a few times to use my old avatar but it won't let me. I'm not sure why. When I have time to waste, I'll figure it out and make you happy but not today.

Lawboy

maybe a 4000 sq ft tract house.....but a nice 4000 aq ft home in a desirable place in texas will run upwards of $600k.

XS TORQ

Yeah - seems like it would be hard to build a "nice home" for $50 a square foot, including land..... no matter WHERE you are.
Houses in Nor Cal go for as much as $1000 a square foot! It is totally crazy, and I have been saying that it can't go on forever, but so far it has continued to go up (with small downward spikes at times over the years).

catwood