CENTRAL CALIFORNIA — While many parts of California continue to grapple with skyrocketing home prices, Central California has emerged as a region where housing remains more affordable than elsewhere in the state.
According to recent data from realtor.com and Cinch Home Services, the Corcoran-Hanford area has topped the list of the most affordable metropolitan areas in California for housing.
Other regions in Central California, including Visalia, Bakersfield-Delano, Redding, and El Centro, also made the list, with Visalia coming in second.
Affordable Housing in Corcoran and Beyond
The Corcoran-Hanford area, with its median home price of $270,000, is one of the most affordable places in California to buy a home.
The price per square foot in Corcoran was listed at $230, which is 74% cheaper than the most expensive metro area in the state, Santa Maria-Santa Barbara.
Local real estate experts, like Chris Jolly, a Visalia realtor, have seen these trends play out firsthand. “I assumed we’re always in the, you know, in the top 2, 3, 4 markets price-wise in the state,” Jolly said.
He went on to mention that while Redding and El Centro might not have the size of larger urban areas, their rural nature plays a key role in keeping home prices lower.
Rural Areas See Increased Housing Demand
With communities like Redding, El Centro, and other smaller cities in the northern and southern parts of the state, the housing market in these areas has been seeing increased demand.
The rural nature of these counties, which often have populations of 50,000 people or fewer, contributes to the affordability, despite growing interest in affordable housing options.
The construction of new homes in areas like Visalia and South Valley has helped meet this demand. According to Jolly, several new construction projects have brought more affordable homes to the area in recent years, catering to a wide range of buyers, from those looking for lower-priced areas to those seeking more upscale neighborhoods.
Mortgage Rates and Current Market Conditions
As of now, mortgage rates in the region average around 6.8%, which can be challenging for potential buyers. However, Jolly offers advice for those navigating the current housing market.
He emphasizes that while mortgage rates may not come down in the immediate future, homebuyers should focus on the long-term investment in their property.
“You’re marrying your house and you’re dating your interest rate,” Jolly said. “You might be dating her a long time because [mortgage rates] probably aren’t coming down much in the near future.”
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Looking Forward: Opportunities in Central California
For those looking for a more affordable entry into the California housing market, the Central Valley offers opportunities to buy homes at prices that are out of reach in other parts of the state.
The continued construction of affordable housing and the growing demand for homes in Visalia, Corcoran, and surrounding areas suggest that this trend may continue for the foreseeable future.
With affordable housing and lower price points compared to California’s coastal cities, Central California could be an attractive destination for buyers looking to make the most of their home purchase.
What Do You Think?
Would you consider moving to a more affordable area like Corcoran or Visalia for homeownership? How do you feel about the current mortgage rates? Share your thoughts in the comments below on RidgecrestPact.org.
