Sacramento/Elk Grove Housing Crash

[Mike Esposito]

Just wanted to get a sense of what people are seeing in Sacramento and the immediate surround areas. What does everyone think will happen over the next 6-12 months? I am anticipating a softening market but I’d like to see if I’m being too negative. 

The reason I see around 5-10% drop by March 2021:

1. Increase in foreclosures after forbearance and unemployment money ends. 

2. Lack of business reopening due to extended COVID lockdowns.

3. Crime/poverty increases.

4. Decrease in rent prices in the Bay Area encouraging people to stay and causing slower growth in surrounding areas.