From the golden coast of San Francisco to the familial atmosphere of Orange County, California real estate has long term value for those who call it home. One could say that the California gold rush signaled the start of real estate’s humble beginnings, with many seeking betterment for their families. As such a rare commodity, gold sets the standard by which all assets are benchmarked.  Like gold, California real estate serves as a fundamental basis for how other housing markets are performing. In our introductory discussion on California real estate, Thomas Simon, a California Real Estate Agent, with ERA Regency Realtors, will paint a clear picture on why and how California real estate is a safe and secure asset, from a home buyer’s perspective and from an investor’s perspective. Before we begin, let’s look at a little bit of history concerning California real estate.

Since its humble beginnings the majority of California real estate was four walls and a roof, a place to call home, a place to raise a family and not an asset one would ever think could increase in value. As great migrations occurred and our California population increased, the laws of supply and demand took effect. So, when looking at values concerning California real estate, it is best to look at those values through gold rush eyes. As more and more gold was discovered in a certain central location of California, well, the value of that central California location also increased. These factors which increased California’s value could be considered incidental in nature, though underlying it was an increase in the findings of gold, or, sometimes, a hope to find more gold. Fast forward to the 20th century and we have our California Real Estate market as it stands today: Steady, secure and backed by demand for the betterment of one’s livelihood and that of one’s family.

From a home buyers’ perspective California real estate brings the safety of a community backed by years of growth, though subject to downturns. Now, California real estate is not as scarce as gold, which is why it can succumb to the factors which cause a temporary real estate market downturn. However, California real estate proves time and time again that the laws of what goes up, must come down, and vice versa, make California a secure community for your housing needs. We saw it in the 1980’s during our inflationary troubles and as mortgage interest rates climbed as high as 14%. However, the 1980’s to present day California real estate , did not disturb the underlying “gold factor,” which causes housing values to stabilize over time. That underlying factor is long-term thinking. Long-term thinking’s benefits far outweigh the present day, temporary, problems underlying California real estate. So, the California real estate “gold factor,” which will stabilize California real estate, is long-term thinking, not short-tem, not in a week, but long-term. As long as one is able to control his or her own thinking, he or she has discovers the “gold,” that by which there is always real value.

From an investor’s perspective, California real estate is considered a secure haven, a place where your money may grow, as long as it is placed properly. Of course, the caveat is always, “As long as your money is placed properly.” To gain a deeper understanding of California real estate, it is best we understand the exact same principle of long-term thinking. When considering California real estate from an investment perspective it is easy to get caught up in the short-term, quick profit mentality. It has been known that many profit less, when viewing California real estate through the eyes of an easy, quick buck. Many investors end up blaming the market for controlling his or her own loss. Experience has taught Thomas Simon, California Realtor, that the best way to profit more from California real estate is to think of it the same way the gold miners thought of gold during the gold rush. That is to say, if one sees California real estate as a rare, unearthed investment, he or she will do their best to find the correct amount, costing them less to find and knowing that the future, long-term profit potential is good. It’s one part market savvy, one part math, and one part a willingness to know that there is long term profit in California real estate.

From the beginnings of the humble abode, to the gold rush, California real estate serves home buyers and investors alike. It is good to know that California real estate is as good as gold.