The half-mil homeTom Kirkendall has a great post comparing what kind of home a half-million dollars will buy you in LA vs. The Woodlands, with pictures. He links to this story in LA Times, which has some just stunning data points in that price range: 724 sq. ft? One-bedroom? 80+ year old houses in need of substantial repair?
And guess what? $500K is the median home in LA now, vs. $145K in Houston.
The California Assn. of Realtors estimates that today only 13% of L.A. County households can afford a median-priced home.Note that's LA county, not just the city or just the nice parts close to the ocean, but the entire county, which goes substantially inland and has around 10 million people in it. (that number sounds like some exaggerated round number - like "a gillion" - but, no, it's the real number)
So what the heck are the other 87% buying below the median price? Do they make houses smaller than 724 sq.ft. and one bedroom? Isn't that called a "garage"? I know people in Houston with more closet space than that. Or do neighborhoods with armed gangs roaming the streets get you into that nice "affordable" $300-400K range?