California Housing Market Pressure and the Search for Better Buyer Markets

And now live from our Smokehouse studio, it's time for Real Estate Jerky. All your real estate questions answered by our provocatively lean expert host, Edward Ed Parcaut, MBA, veteran and president of Lending for Living. We'll give you something to chew on. Real Estate Jerky is on now. Welcome to Real Estate Jerky, where we always give you something to chew on. I'm your host, Ed Parcaut, MBA veteran and president of Lending for Living. Our studio is located right here in Modesto with our producer, Mike Murray, and we're proud to bring you the latest updates and insights on the real estate market in our community. Thanks to our partnership with iHeartMedia and this station, KFIV, you can tune in and never miss an episode by subscribing to our podcast.

Stay up to date by following us on social media. Joining me today is Mike Kelly, a Remax executive realtor. I'm here I'm here again. That's right. I can't believe you keep on asking me to come back. Yeah, I can't believe they keep putting you back there. I'm good for a giggle once or twice. Yeah, well, what are you going to do? I don't know. This is uh I can't say this has been a unusual week. I mean, there's, you know, I I knew last weekend the whole um thing wouldn't come out, you know, the um talks wasn't going to happen because they were so used to just telling us the way it is and everybody's going, okay, well, we can live with that because it's not World War III. Oh, yeah. Yet. Yeah. Well, no, that's exactly what they We need 60% uh Really?

Why? Uh uh uranium or whatever it is. Uranium? Because we're not going to build bombs. We just need that 60%. We just need that. Well, okay, it's better than World War III. And now someone finally stood up to them. And then the worst thing is like they keep saying that the reason that those people had to go back and talk to them because they they didn't have the actual permission to make an actual decision is they have a communication issue. Mhm. Meaning it doesn't it doesn't work? That they That and or they're worried about finding out, you know, when they talk to him, they're going to find out where the extreme leader is and then all of a sudden, we need the next one, please. Yeah. Yep. Ba-boom, done.

Ba-boom, done. Are you there? Are you there? Can't hear you anymore. The cardboard cutout isn't working anymore. So, and you know, but I knew eventually we're going to eventually get this thing resolved and everything's going to go back to where it was and everything will be better and the bridge will be open for everybody. Yeah. Probably. Yeah, exactly. Yeah, I wouldn't doubt it. Why it's a cease fire, not a cease building weapons or finding weapons fire. Yeah, you know, if we can get a couple more of those fast ships going. Have you ever watched MASH? They had cease fires that didn't stay. Yeah. I guess that's Still the last show. Yeah. That one lasted. And the show How long would that was on for a long time.

Almost as long as the war. Maybe that's what they're trying to do. Well, they made good That was built That was done in the um Hollywood Hills if I remember right. Back in that's where they had the set. Yeah, every now and then you could see the sign. Could you? No. No, I was going to say what are you talking about? But that was pretty good that they did it there because then everybody has all their nice houses and, you know, and they can just say, hey, I got to go to work. Yep, see you. I'm going to go record. Yeah, I'll be back in a couple hours. Kind of like us, you know, we do our daily show. Yeah, right from the yeah. You know, we do them in the Hollywood Hills. Yeah, something like that.

All right, let's get into some numbers, shall we? Yeah, you're going to start with some national numbers, right? Yeah, let's talk about it. So, the inventory last week went up to 724,977 uh which is a how much is that? That's about a 1,517 increase nationwide. Not a big jump. No, especially the last few weeks. Not a big jump. The last few weeks, right. Yeah, they were in the almost the 20,000 range. Yeah. So, now they're resting. I I guarantee it has to do with what's going on. People are so they don't know what to do because of the war and everything that's going on. Yeah. What if I make the wrong decision? You know, uh the worst part is you got California, you have diesel, you know, gas prices for diesel at like $7 to $7.

99 now. Yeah. Uh and it's and everybody's like, oh, this war This has nothing to do with the war, people. This has to do with your government. No, no. Newsom should put together another coalition to kind of investigate why the gas companies are gouging just California. Yeah, just exactly. I mean, if you look at the number across the country, it's about I'll say $1. 50 the difference because of the of the war. Um but this whole thing has to do with refineries and not having refineries in California and buying our oil somewhere else. And the gas tax. Yeah, well, the gas tax like 50 cents, right? No, no, no, no, it's higher than that. Is it? Yep, it's like 85 to a dollar. Wow. Yep. And again, it's going to raise again, I think here fairly soon because, you know, they're spending so much money on those roads.

Well, I thought you said their roads are amazing. No, yeah, in other states. Could have sworn you said they were amazing that you that money is actually Oh, that's the H1. The measure H is amazing. We doing what we said we were going to do with the money that we're collecting and it's doing great things for the city of Modesto. And while we're on that little thing, don't forget there is a um election in June. June 2nd. Yeah, that you have to go in primary and pick the top two people to be on the ballot. Yeah, well, it won't be Swallwell, which is nice. Um and I can't believe that Tom Steyer is is making some headway. Of course, he's a billionaire and can pay for his own commercials and puts a lot of money on.

And it's And you Most people see it three times and believe it. Yep. Yeah, it's true. Yeah, I hit something on my nose there. Um you're listening to Real Estate Jerky. I'm Ed Parcaut, MBA veteran and mortgage advisor at Lending for Living alongside Remax executive realtor Mike Kelly. Yeah, because I don't think he's that great of a person, but he he has the money to spend because it doesn't cost him that much compared to, you know, because not everybody's buying ads right now. I think anybody that is really um um hurt by TDS, Trump Derangement Syndrome, isn't going to get much done. Well, I'm just tired of everybody saying, I'm going to do this and I'm going to fight Trump. I don't Why I Why do you want to fight Trump?

Trump's doing some pretty great things for us. How about you just tell me what you're going to do? No, I want to keep talking. It was kind of fun cutting you off. It's it's what I usually uh suffer. Let me finish. No, it isn't. Uh but what the thing is is you need to do more than fight Trump. It's not about fighting Trump anymore. It's about what are you doing locally for your community and how are you making our lives better. Period. Forget this Trump's not making my life harder. It's you California politics are making my life harder. Go on. Exactly. This gas thing, I don't know how people are surviving that are commuting. Um you can't you can't just go buy an electric car and think it's going to fix everything because it's not.

It's not. I'm not I'm not going to say anything else. Why? Because we just beat that to death. What are the uh You want me to talk about state numbers? We have time for that? Why are you jumping away? We got a whole We got a whole show to get on to everything. No, I'm just I'm teasing. No, we we definitely need to Here's the thing. We're Everybody needs to come out to vote this time and vote your pocketbook. I know a lot of people are going to think that this whole Trump thing is his fault. Like I I one of my current clients and she's like, oh, I just want to let you know what happened to my FICO score, mine and my husband. You know, when Trump did the student loan thing um uh Let me finish. When Trump did the student loan thing, we didn't know and it affected us because we had to start paying on it, blah blah blah.

I go, that wasn't Trump. I said that was the fact that they put that off for so long and then eventually it just happened to come to where you it's under Trump that it actually expired and you were not supposed to be able to get it for free. Trump. Right. You know, I just let your husband get 100% disabled and he can get rid of his student loans. There you go. Yeah. Yeah, and you've got a website that can help with that, right? Yeah, but that's not the student loans part, but yeah. No, but with the uh 100%. Yeah, because most people Yeah, VA claim bridge. Uh it's and it's not about It's about helping you do your own stuff and so you can do it yourself. And then if you can't do it yourself, there's other places you can go to get help.

But yes. Yeah, my kids struggled and paid off their student loans and they're still struggling today. Yeah, well, I mean, that's how it's supposed to be, but that what I was trying to get at with that statement is people are going to blame Trump for certain things which is not Trump's fault. That began with the last administration. Just in general, like it's like the stuff that's happening in California when they're trying to make the gas about Trump. It's not about Trump. This is our own because 100 $1. 50 is not really going to be that big of a deal. That means instead of diesel being $7. 99, it's uh $6. 50. Right. Ooh, so much better. Right. Well, it is, but still it's, you know, I'd much rather have it back down to around $4, which I don't remember when the last time it was there.

I You know, I miss 85 cents a gallon. That's not going to happen again, I don't think. Yeah, well. No, because this town would be totally different. That'd be like 40 years ago. Yeah. Yeah. Yeah, I didn't mind that. Yeah, I don't mind it. I much rather have it now. Yeah. So, if we have time, did you want to talk about state numbers? Uh yes, we do. We want to talk about that. Yeah. We got enough. Okay, go ahead and give me state real quick. Hey, realtor. com says 146,538 homes are currently on the market in the state of California. Now, those are townhomes, condos, triplexes, duplexes, and fourplexes. And uh so I think we're at Where did it go? Why did it drop so down down so far? Yeah, I know.

Yeah. 98,146 single family homes according to Redfin. So, we we're down. So, that was so important because you thought you'd lose your train of thought or something. I knew I would. Because the producer's like, Mike really wants to talk about state numbers. Yeah, because he's going to forget where he was and just not talk. Get your real estate and mortgage questions answered by the experts at Real Estate Jerky. Contact us at radio@realestatejerky. com. Call me, Ed Parcaut, directly at 209-404-1915. Reach out to Mike Kelly at 209-968-5633. We talked about nationally where the inventory is national, which is up about 1,517 to 724,977. And those are only single family homes. That's not including all the other things, townhomes, condos, and everything else because that number's closer to a million.

It's like 900 and some thousand. And where average days on the market, I didn't tell you, is 63 days. And the difference between 63 and then the other day there was like another number of 120. Yeah, it was 58 days more or something like that. Yeah, and what the difference is between uh people who have 63 days on the market is they price their house right and people have 120 days on the market if they price their house wrong from the beginning. So, the most important thing is to price your house correctly from the beginning. Exactly. 100%. You'll be done before you know it. And then you talked about state numbers because it was burning a hole in your pocket. Yeah, that's my that's my dad used to say about money.

A hole in my pocket. Yeah. 93,000 some odd for the state of California single family homes. And then here in this little tiny county of Stanislaus, um 671 active homes on the market. And those are, you know, single family homes, condos, and townhomes. Um not a lot to pick from. More realtors in uh Stanislaus County than there are homes on the market. So, slim pickings. Probably three times. And then, you know, you said the national numbers went up another grand, another thousand or so. And there's a um article here or just a quick comment saying a widening chasm is persisting with a record 630,000 more sellers than buyers nationwide. I'm sorry. What's a chasm? Uh uh uh uh it's a big wide thing that you put garbage into and then you cover it up with dirt.

Um What's a chasm? A chasm is a big it's a big it's a big gap. All right, so uh did you say that? Because no, I was reading what they said. They like I know, but that is not your that is not your You can definitely tell that was not your wording. You you think? Yeah. But I've used chasm before. Yeah, sure you have. Uh it it's crazy the the different information you get from the different writer, you know. 630,000 more. There's only 700 and some odd thousand um properties on the market nationwide. So, how there can how there can be a $630,000 not dollar uh person gap between buyers and sellers is kind of unimaginable. Yeah, but they can say whatever they want because that How are you going to prove them wrong?

That's the problem. You know what I mean? That Oh, you know, just ask Claude or Gronk. Yeah, whatever. Both are two things you don't use. True. I'm scared of them. What are two things Mike Kelly doesn't use? Uh, what was the guy that used to be on uh Oh, it was uh The Amazing Kreskin? Yeah, thank you. And then if we look at mortgage applications for last week, uh cuz this really shows where the market is. Um, mortgage-backed securities. So, if you look at mortgage applications, they're showing interest rates fell from 6. 5% to 6. 4% last week. Purchases fell 1% last week and now are flat year over year. Refinances rose 5% last week and are up 15% from this time last year. And if you remember, everything okay over there?

If you remember last year, we were It was like stay alive till 25. Or that and then Yeah. Right. Well, that was in 24. Right. And then in 25 happened and then it was like we can't even know what to say to get to 26 because we can't even come up with things after Well, nothing really goes with 26. So, numbers weren't through the roof last year. So, if we're only if we're exactly year over year the same for purchases, that's the problem. And it has to do again with interest rates, what's happening in the the Strait of Hormuz. That is the biggest thing. That is the biggest thing that can control rates and the housing market than anything else. Right. I agree. Yeah, I I I really do agree. And it's funny how some waterway in the middle of nowhere can affect how we buy houses.

It's like the the flapping wings of a butterfly. You know that poem. For the want of the nail. Yeah, whatever. Yeah. Yeah. Todd Rundgren. So, that's the problem is there's so many things that can affect what we deal with on a regular basis and how do you, you know, how do you move forward as a as a sell as a seller or buyer? Completely out of your control. So, those things you kind of let let them fall off your shoulder and then make the decision that works for you because given today, tomorrow will be different. Things change. Thank, Grandpa, for such wise information. Yep. Now, get back out on the porch and go and help Grandma with dinner. Can we Can we have some lemonade while you're at it?

Geez. And then, you know, you look at uh we had uh some more employment numbers this week coming out showing that jobs are doing well. Um, they're hiring more people than they thought they were being hired and not government jobs. These are private sector jobs, which is really good because it doesn't cost us money when they hire do private sector jobs. It costs us money when they do government jobs. Cuz somebody has to pay for that that new job and that's with our tax base. Good. Mhm. What? Yeah. You okay there? No, I was just being uh astonished. It It's fun being astonished. Oh, it's like I thought I was going to read something. You know, you know, you read all this stuff about AI taking so many jobs away, but you still can't replace that human touch, that human human contact.

So, other people are making you're creating their own jobs where you still need the human factor. Well, they realized that AI needs to ask somebody something, so they're not getting rid of as many middle management anymore because it needs to ask somebody what to do. You're listening to Real Estate Jerky on Ed Parcaut, MBA veteran and mortgage advisor at Lending for Living alongside REINMAX executive realtor Mike Kelly. And that's the biggest problem. So, they were getting rid of a lot of middle management and then realizing, okay, the cuz I use it to help with low tasks, low fruit that I don't want to pay somebody to do. You know, somebody you would normally get at minimum wage or whatever, then you get a minimum wage person.

And then you got to pay them more to get a quality person. Well, then that's not what I want them doing. And I have found out using uh Claude and co-work through Claude, I can have it do most of those assistants jobs, the lower end stuff. Right. Uh-huh. At a fraction of the cost. And it doesn't cost Yeah, 200 bucks a month. I know. But the positive thing is then it can you can It makes you more organized also. You know, most people have a secretary to do to get them, hey, do my calendar and have everything ready for me. This thing will do for you and and connect everything for you. And that's where we're going. We will be more productive and have more time to do different things. Gotcha. That's how Yeah, it's it's going to make us more productive like we've never been before.

Not you, but the other people. Cuz I don't use it. Well, that makes sense, right? Yeah, well, I mean, you It's not that hard to learn this stuff. It's very easy and there's a lot of stuff. And for somebody who wants to get into AI and understand all the different things, go go to YouTube and just type in, you know, what you're wanting to learn and it's all there. And one of the guys I'd recommend is The Absolute Marketer. It's Nuno is his first name. He's amazing with what he teaches and everything. And that's the easiest way. I know him personally, but it's just the stuff and now I found him, it was like a year ago I went to that conference. And my whole goal to go to that conference was to meet him and come to find out we were already connected.

I just had never met him personally. That conference. Gotcha. Yeah. And who is this? Nuno. Nuno. Yes. Nuno Tavares. Ah, okay. Absolute Marketer. So, basically he is like, you know, Ralph in our club has that bridge system which is which is go high level. People, you know, that's oh, this is my bridge system. You need high level just white label to yours or whatever. Well, that he started in that business too at the same pretty much the same time, but then he started doing videos on how to do things in high level and all the stuff. And then he got into AI and we and building apps and everything else. And he's he's helped me immensely on how to learn certain things just because he he figures it out and then he puts a video out on it.

And I just watch the video. Oh, cool. You don't have to figure it out cuz I figured out other stuff in the meantime cuz they're always not really doing stuff the way I want it done right away. So, anyway, enough about that. Nobody cares about AI like I do. Yeah. Nuno does. So, what else do we have? We have a couple other things from our illustrious producer. Well, one of the things he's talking about, you know, how 40% of Americans feel home ownership is impossible. Yes. I totally get that because especially in California when only 44% of the people can afford, you pretty much got 66% thinking it's impossible in California. So, that must be a nationwide number. 66% Yeah. I'm sorry. I can't add.

It'd be 56%. Yeah, I guess it would be, wouldn't it? Yes. 56 + 44 is 100. Yep, that was right. And one of the things that they 56 + 34 would be 100. And he gave us an article from CNBC and I tried to look at it, but there were so many mortgage companies slammed in there as ads. It was a nightmare to read this article. You couldn't see You couldn't see the article at all. And it's talking about take out government-backed mortgages is number one. Number two, investigate down payment assistance. Number three, figure out how you can afford and find homes within that range. Well, number three is move to a different state was what they should have just stated there instead of figure out how much you can afford and find homes in that range.

Yeah. Because the problem is right now in California, we're not building affordable housing. I mean, the most of these houses, new housing are six, you know, five something to 600,000. That's Well, and the other thing is we're not even building affordable renting. I mean, they are building a lot of places to rent, but is it really on the scale of affordability affordable for everyone? No, it's not. So, there's always going to be that gap. And the take out mortgage-backed mortgage government mortgage-backed government-backed mortgages, which is FHA and VA, that's just a lower rate, but it does not increase the affordability. I mean, I guess it pushes the ratios, but it does not really Mortgages.

Right. I don't think it was a great article to say how to do it. The problem with most of the time is these programs like they said, look into down payment assistance. Well, the problem is most of those programs are 66,000 or like USDA used to do that a lot in Tuolumne County, Calaveras County in the rural areas. Well, they have a max you can make. And right now for two people is $120,000 a year. Well, you need to make a hundred You need to make a little bit more than that to afford most of the houses that people want to buy. And I had a couple came to me, sent to me that they just finished their credit cuz somebody told them to take care of it. And they make too much money now to qualify for USDA.

Exactly. This is Real Estate Jerky on Power Talk 1360 KFIV and I'm Mike Kelly, REINMAX executive realtor right here in the Central Valley alongside Ed Parcaut, MBA veteran, mortgage expert and president of Lending for Living. And we were discussing We were What were we discussing? It's been such a long break. We were Well, we had to get all that important news out there. Yeah, we did. Yeah, that's a That was the bottom of the hour. Well, our illustrious producer sent us segment C now. Yeah, segment C sent us a Dixon, California is calling me. Uh, denied. Um, an article showing the 10 worst markets for a buyer to buy in and the 10 best. Well, the best Yeah, the best housing markets for buyer. Forget welcome mats, white picket fences.

When it comes to the basic of buying a home, does your local market feel hospitable or downright hostile? Oh, well, hospitable from Modesto, but uh and I know we're in California, but I guess there's the top 10 worst places for a buyer happen to be in California. Shocking. Isn't it? Yeah, well, I was trying to find and it's buyer friendly. And I was trying to see what they meant by buyer friendly. And, of course, it's just too get you to look at the article. Buyer friendly. Cuz they don't have a lot of information supporting. No. Well, their affordability ratio, median sales per square foot, median square footage for pending homes. I don't see what makes it um public school quality, that's maybe property crime and rate per 1,000 people.

Uh, that's what I'm just saying violent crime rate, percentage of housing units that are owner occupied. Most of the factors that most buyers look at before they relocate. You think that's what they look at? They look at where they're moving. And they look at where they're moving. They look at crime, they look at schools if they're a family. If they're just moving for a job, they just want to know can I afford to live there while I work. And it's, you know, let's see what Of course, Thousand Oaks is number 105. I'm trying 105. I'm looking at something for uh percent. So, in Thousand Oaks You know where Thousand Oaks is, right? Down south, right? Yeah, 75% of the people living there are owner occupied properties.

Wow. That's pretty big. Well, that's because you can't afford it otherwise. I mean, Well, and they probably bought in 1960. Well, Thousand Oaks is a nice place and it was one of the last nice places to buy 30 years ago. And it's just me and that, you know, trying to get in there. I remember how it was. It was a small town. Roseville 113 It's the same thing, 71%. I thought for sure it'd be much lower than that. But it's not. Well, because they're talking, you know, you basically I was saying 44% of the people um can are can afford to buy a home in California. And this is telling me that in certain markets that's not the case. I was trying to just find California. Damn it. Excuse my language. But oh, it's a Berkeley's that way.

So, what are you looking What are you looking at that's giving you all this information? There we got There we got. It's in the same article you're looking at. Uh, it's 45% of the people in Berkeley are homeowner actually are the they own the home. The rest of the people are renters. So, that's really I was trying to see if the numbers would get to that 44%. So, in some areas it's higher and of course, right? In some areas it's lower. But um from So, that's 1 259. Uh, so pretty much once you get into the the bigger Bay Area cities and other places, um that numbers goes down to like 33% of home is uh percent of housing units that are owner occupied is 33. People are going, what are they talking about?

So, if you Modesto is 177. Let's go up to Modesto. Yep, there it is. Uh let's see what it shows for home ownership. 60%. It's home ownership in Modesto. Owner occupied properties, yes. Wow. Would you have thought that? No, I would not have. Yeah. So it it it pretty much works out when probably when you average that it ends up being down to closer to, you know what I mean, the 44% right now. But you got to remember that's in today's market, not in 2022 or 21 market. Right. Because rates were so much lower. The rates were deliciously lower and they could afford a lot more home. And people are I got I was sending an email and they wanted me to write an article and I told them no thank you about, you know, how people how clients are doing with their low mortgages.

Are they finally leaving them? Why are they leaving them? All those kind of things. And it's it's all about a pent-up demand and finally getting over that abusive relationship and going and getting the house. Most of my buyers who have left those numbers one moved. Two, but the top number would be they had babies. Right. Right, and they were growing out of their household. They grew out of their household and they've been stuck in that house for a couple years and they just can't take it anymore. Sanity is more important than super low interest rates. I don't know. If you talk to an insane person, they don't seem as to be think it's very important. Have you ever done that? No, I've never tried that.

You need to go to Rotary more often. I did for many years. I know you did. You put your time in. Yeah, so did you. Are you passed? I'm passed. Oh, so you're not you're are you immediate passed still? Yeah, that's right. You still are. I'm yeah, for a couple more months. And then you're going to go I'm done. I'm done. Done, done, done, done. You're listening to Real Estate Jerky. I'm Ed Parcaut, MBA veteran and mortgage advisor lending for living alongside Remax Executive Realtor Mike Kelly. All right, since I went through the whole list of cities and where everything is at, the whole purpose of what our statement was, the best markets for buyers. Number 10 is Carmel. Indiana. Yeah, no, definitely not Carmel, California.

No. Uh Centennial, Colorado. I don't even know where that is. Um That's it's on the other side of Bicenntenial. Oh. It's right next to it then. You know, I It's just a couple away. I know. I know a little bit of Colorado because all my kids live there, but I don't I don't know where Centennial is. Well, let's put it this way. Um I'm surprised it's Colorado first of all because it's just like California. But most of the the things on the best markets for buyers is Florida. So if you look at number eight is Boca Raton, Florida. Oh. Port St. Lucia or whatever, Florida. Sugar Land, Texas. I've heard about that a few times. I had my kids lived in Sugar Land, Texas. What's wrong with Sugar Land, Texas?

Everything sweet there? Nope. Uh it's close to Houston. It's humid. Um and it's really kind of a small town. Well, sugar if it had anything to do with sugar back in the day if that's what it was produced, that's where most sugar what's that pure came from Hawaii. Yeah, remember those commercials? Yeah, pure came yeah. Oh, I do. Um and then number five, Palm Bay, Florida. Uh Lehigh Acres, Florida is number four. Surprise, Arizona. Yeah, I don't know. Now what it was is it was right where you cross the border and you're like surprise, you're in Arizona. And I have no idea what that is. Yeah. Well, again, all these things have ish have something that offsets house prices. Yeah. Humidity. Uh Palm Coast, Florida, Cape Coral, Florida.

Those are all places that, you know, everybody moves to and these are nice area. I mean, the thing about those states though is they're they're looking at getting rid of the property tax in Florida. Right. And if they get rid of property tax, you're going to have a lot more people moving. Oh my gosh. Uh and then they go well, how do they deal with it? The same way they deal with it in Oregon, sales tax. Right. So as long as you don't buy anything or what you do is you go across the border and buy it and then you get caught transporting stuff across state lines. Really? I don't know. Oh, you're making it up. I'm making it up. I'm you know, California they want to charge you for leaving the state now.

Um Well, it's like a, you know, ex-lover. They get upset. Yeah, yeah, you still pay my mortgage. Um you know, the fraud here just the it's The fraud in California is making it so worse. I mean, there's companies leaving left and right. There's just a home builder who just left is leaving California in the next year. That's their plan. Um we're we're going to get to a point where we're not going to have big companies. And some of these big billionaires are just moving somewhere else for 51% of the time, still keeping their house here and everything else and now just saying I know I'm not full-time in California so you can't tax me. Worst markets for buyers. Oh. I guarantee you none of them's in California.

I I I would venture to say all of them, the top 10 are in California. Yeah, and they're the ones that are they're 30% owner occupancy. Or less. Well, no, that was the least I've seen. The least was 30%? Yeah, so like Berkeley, Santa Clara, Sunnyville, Glendale. You start at the top. I know. I'm just going to say all of them because they're all in California. But they're all around us. Glendale, San Francisco, Burbank, Inglewood, Oakland, San Mateo, Pasadena. Well, Pasadena's not around us, but you understand what I mean by that. They're they're local to us and most of these that we can't afford anymore because they're the Bay Area unless you were living there. And then all of a sudden you bought a house for 500,000 15 years ago and now it's worth 1.

4 million. Right. Yeah, and the ones that aren't in the Bay Area are in the LA area, the LA basin. Well, Pasadena's not really LA. Yeah. Yeah, I could drive there. I know, but the problem is it's where do you live? LA, Pasadena. No. LA County? No, that's not even LA county. But Inglewood that's Where's Inglewood? It's down south there too. That's what I thought. Okay, so two of them. Yeah. Two. Well, what about uh Okay, you're right. Yeah. Somebody's trying to make me wrong. Oh no, I just thought I saw one other that just was down south. Yeah, it's probably uh Well, where's Burbank? And Inglewood. Oh, Burbank is down there. You are correct. Yeah. So you are correct. You have three of them. Three out of the Yep.

The first time in my life I had been correct and someone actually acknowledged it. Actually first time on the show. First time on the show, you're right. The show. The show will go on. Um California it's a wonderful state. I love the weather. I love the uh two seasons we have, you know, summer and fake summer. Well, Carlsbad, California, which is a great place to live, their owner occupancy is at 63%. So kind of like us. Yeah. Um it's a nice place to live at and it's close to the beach. It's, you know, you But again, you're dealing with a couple things in Southern California that you're going to have to deal with that you don't deal with here is I mean, traffic's really bad. I mean, yeah, and the Bay Area it's like going to the Bay.

It's the same thing. Um it was funny. My wife was wants to do the um oh. Wants to do Real Estate Jerky on Pirate Dog 1360 K-5 E is always bringing you the latest information on the real estate industry. And if you have any questions or comments about our discussion today, please email us at radio@realestatejerky. com. I'm just focused on what my wife is going to do. All right, so she comes to me and she goes hey, I want to I'm on pins and needles. What's your wife going to do? Yeah, I I want to do this run in Southern California. I'm like okay, where? In Joshua Joshua Tree. Yeah, I'm like that's not Southern California. That's desert. I mean, technically it is, but it's 3 hours away from anything that civilization.

I'm like that's Barstow. That's what we call 29 Stumps instead of 29 Palms. Is it a marathon or a or a It's a half marathon at night and you run at night with your light and everything else. I'm like okay, I'll go. We have to go. So what we our plan is to hit all the national parks. Oh cool. Because we hit a bunch of them when we did that one in when we went to Utah a while back. And and then I've hit so many as a kid and to this day you got Yosemite, you know, and so I was able to put a bunch of stickers on. I'm like there's a a bunch of them in California and we haven't been to all of them. Been to Big Sur, but um like, you know, so we haven't been to Joshua Tree. So I'm like let's one we're there, we'll just go to the thing and get that and mark that one off also.

Very fine. So anyway, I'm like yeah, but I'm not I'm not running. You're not going to run a half? You're not even going to walk a half? You're not even going to do the 10K? No, I'm not. I there they're not a 10K. It's just a half. Yeah. Okay. Yeah. Well, a lot of times you do these these half marathons and they start with a 10K or they've got the little 5K. Well, you can you can start with the 10K, but then you just have to keep going until you're finished. Yeah. Beer and a burrito at the end, the most wonderful thing in the whole wide world. Not this one. Oh, they don't? Well, they have rabbit stew and uh eggnog. Well, it's going to be at nighttime and it's in October, November. So that means you'll finish around 9:00, 10:00.

Well, my wife running will probably be finished around 11:00. I love her to death, but I love her, love her, love her. When she runs, I'm walking. Yeah, oh, okay. Well, she gets done. She finishes. That's all that matters. Um the Modesto Midnight Marathon, it was not at midnight. It started at 9:00 and the uh promoters of the the race came out like in June or July and when the moon was so high in the sky and they said we don't need extra lights. And we're running down on the Dry Creek Trail. Oh. We needed extra lights. How many people broke their ankle? Well, I rolled mine at mile three, but I finished I finished the run. Um here's uh some word of advice. If you're running the Modesto Midnight Marathon, well, it'll probably never happen again, don't run three abreast on the trail because you you're too close to the the people on the outside are too close to the edge.

You're going to roll your ankle like I did anyway. I'm sorry, three abreast, does that mean three people next to each other? Yeah, exactly. Okay, just trying to When did you grow up? Not what my grandpa did. I'm just trying to make sure everybody understands what you're saying. Well, I think most people do. They stop listening at breast. He said abreast. It's a chicken. So um anyway. So we went through pretty much all the stuff our producer sent us to for the show. All that was really interesting. There was a couple things he sent us that we're just like are you serious? This doesn't even have to do with real estate. I just The biggest thing because we talked in the beginning about inventory, how it's not really going through the roof.

It's it's just sitting there nationwide. Some states have a lot more and a lot of states have a lot less than other states. Uh yeah, Florida, Texas, all those who have a lot of properties on the market just because of the fact that a lot of people move there and a lot of people are moving out and they're a great place as a buyer to go to. I I saw a whole thing about Detroit starting to pay you to move there again. Yeah, you you mentioned that earlier in the week and I'm like huh? Like kind of like Italy did, you know, come come uh become a citizen and and start paying taxes over here or whatever they're going to do, but be be part of the community. Um so what's Detroit saying? Uh Make Detroit Home program launched in April 2026, so like a few days ago, is part of a Move Detroit initiative that offers up to 15,000 in financial benefits to over 300 individuals.

These funds are designated to attract entrepreneurs, creatives, and small business owners through down payment, home renovations, or business expenses. Right. Hmm. So are you moving? So they're not really paying you to live there, 15,000. I don't know. Is that enough to live in Detroit? I don't know. What neighborhood? Exactly. Yeah. Bring your machine guns. No, but I'm just saying they've been rebuilding Detroit forever. Oh my gosh. Because we during the pandemic, not pandemic, the great recession, it was horrible. Everybody left. All the jobs left. Every and that's how California is going to get. I know. We're watching it right now. If they keep Yeah, if they keep pushing companies out, then how people are going to work?

They're not where are they going to be service people for people who come here and travel and then they can't afford a home? And all the homes are going to be owned by corporations? What? Yeah, I think everything's going to be boarded up again alongside New York and California in the directions those uh three are moving. I just hope that in June everybody comes out to vote, which they don't normally do because it's a it's the mid Yeah. It's a primary primary. Yeah, it's primary to figure out who's going to be on the ballot. Why don't we just put all the people on the ballot and see who wins? That would thin the uh the voter population down quite a bit, wouldn't it? You're listening to Real Estate Jerky.

I'm Ed Parcaut, MBA veteran and mortgage advisor at Lending for Living alongside Remax executive realtor Mike Kelly. If you have questions or comments for us, feel free to reach out by emailing us at radio@realestatejerky. com. You can go check out Mike Kelly's site at mikekellyrealtor. com about probate. You can check out my Lending for Living site that has to do everything about reverse mortgages and you can run your numbers and see how much you can get out. And then my other site, Loan Squad, which has to do for veterans and first responders where we take care of you. All right, back to the show. What did we have we were talking about before I cut you off? We were talking about um muddying the waters by having everybody that's running for governor uh just qualify to run for governor, but it's just the top two vote getters.

That that go from there the primary to the other primary, right? To yeah, to the actual election in in November. Um and for a long time it was looking like it was going to be um Steve Hilton and uh Chad Bianco, but now it's it's I've seen a couple polls where Tom Steyer or Styer uh is starting to look he's he's in number two position. That's because he's spending so much money out there to be be seen. Yeah. And the people are like, oh, he sounds amazing. He's got these people coming up how he's going to fight this and fight that. And I know our illustrious producer isn't crazy about Steve Hilton, but you know what? He actually has some answers and some ideas that sounds like he can make California kind of nice again um as far as fewer taxes, um some productivity.

The issue with our producer, he was around during the tea the tea party. Tea party. In Boston. So any British accent kind of gives him a uh it irks him. Um and Chad Bianco I I I I hope that it's the top two vote getters are uh Republicans. I hope they I you know what? I Get out of here. No, it really irks me that the whole thing, you know, that what what What Schwarzenegger did. Yes. Because of the fact that it just messes up the whole voting thing. It should be every party should be on the ballot. You're absolutely correct. Uh libertarian, independent, Republican, Democrat, they all should be there. Yeah, everybody. Let them and everybody's like, but that's just going to water down the vote.

Oh well, then you'll learn. So what? You know, the the top vote getter is still the winner, right? Yeah, but I'm just saying everybody should be on there that needs to be on there, not just because, oh, we just need the top two people. Sorry, it's a both Democrats. Yeah, doesn't really give us Republicans a choice, does it? That's I don't know. It didn't That's saying us are Republicans. Yeah, the few. I'm not I'm not really a party guy. No, you're kind of an independent. You you kind of vote Well, and we're both similar. The problem is no party no party is exactly the right party anymore. They're totally different. And we could be here for an hour, but the Republican Party is more of the Democratic Party of the 1950s, 60s.

And and the Democratic Party is more like the UK UK party. Yeah. But if you look at UK, their left is so far left it makes our left look right. They're So well said. It's so true. Yeah. It is so true. And they're arresting people for um uh voicing their opinions. Well, that's what the state of California is trying to do with the First Amendment thing. They're trying to, you know, oh, you can't say that. Oh, you can't take pictures of fraud. You're going to go to jail because of it. And guess what? We have no more time to talk about this today. Is it really that time? Yes, it's that time. Nice. You just wasted so much time today on so many things. I want to thank you for listening to us. It's you're very important to us.

If you have any questions or comments, don't hesitate to reach out to us. You can find us via the web, social media, or shoot us an email at radio@realestatejerky. com. You can give me a call, Ed Parcaut, at 209-404-1915. Reach out to Mike Kelly at 209-968-5633. If you missed today's show, don't worry, you can catch up via podcast wherever you find your favorite podcast at. We're proud to live in this country and still build personal wealth through home ownership. Join us here on every Saturday at 12:00 p. m. and Sundays at 3:00 p. m. on Power Talk 1360 KFBK. Mike, thanks for being on the show today. A pleasure to be here, Ed. Thanks for tuning in to Real Estate Jerky. We'll talk to you next week.

Cuz we got small towns and farmland, folks who still make a living with their hands. Where I come from, a man is still a man. That's my California.