California and real estate

[Matt Faller]

I'm from missouri, and as just about anywhere else in the nation, real estate is horrible at the moment. But several people have told me that in california, the market isnt affected as bad. Is this true?
Also, for doing things like Rehabs in california, is the profit margin alot larger? Are rehabs harder to do because the market is saturated, or is it still lucrative?
thanks.