California is one of the largest and most diverse states in the country. Ranging from huge Redwood forests in the north to the Sierra Nevada Mountains in the east, all the way to the sunny, sanding beaches in the south; the state provides a wide array of climates and cultures. The most populated state in the nation with 36 million people, California has a huge impact on the economy of the nation. It is often put in the spotlight with such influential cities as Los Angeles, San Francisco, San Diego, San Jose, and Sacramento driving the economy. The American entertainment industry is centered in California and provides an enormous income for the state. Farming throughout the state also provides a rich income from the state’s many natural resources. Industries like the computer industry in Silicon Valley, wine in Napa Valley, and aerospace in Southern California create numerous jobs up and down the state for Californians. Today, 16 million people are employed in the state.

The dream of moving to California has become a reality for so many people today. Historically, there have been many times in California’s history where there are large population increases. The California Gold Rush brought thousands of people into the state in a short amount of time. San Francisco transformed from a small tent town into the major city it is now. Today, the state is continuing to grow, but is having to make more space for new residents. The larger cities are becoming crowded, but smaller suburbs are offering great opportunities for new housing. Smaller towns like Bakersfield and Riverside are key areas for new housing today. Builders are focusing on expanding these smaller towns as they because more and more attractive. Read more »

Sales Trends
California, naturally, has one of the largest housing markets. Many of the nation’s top builders have been building homes throughout the state for decades. Many of these builders are focusing on these smaller suburbs. The total new homes sold in California in 2008 were 36,446. 8,000 of these new homes sales were in the Riverside area alone. Looking at the total sales of each region will show that much of the builder focus is on the smaller; less populated areas (A look at each region is available here ) Large names like D.R. Horton and KB Homes have a huge market share for these areas. D.R. Horton has an 11.3% market share for the Riverside area. KB Homes also has a 10.2% market share for Riverside. These builders are coming in and building a large number of inexpensive homes for the area, taking market share and making sales.

Other Key Trends
As larger builders focus on these suburbs, much of their success has come from building cheaper, more affordable homes. The Major builders are focusing on stripping down costs to make homes that are extremely inexpensive. With less overhead costs, homes are built faster and more abundantly. Builders can sell homes at a more affordable price for today’s economy. As homebuyers look for the best deals, areas in California with more affordable housing prove to be the most success for today’s market.  « Close »