Ray and Sue Manzo from Moreno Valley are just two of the many Californians who are packing their moving vans and setting their sites on Raleigh NC. What does this mean for NC real estate?

When there is a mass exodus from California to a new area of the country, real estate values in that area tend to rise. Because Californians are accustom to paying so much more for real estate and often have a great deal of equity to contribute after selling their California home, they are less likely negotiate for a lower asking price than many local residents.

Displaced Californians also tend to affect new real estate economies in other ways. With extra cash on hand from the sale of their homes, they tend to invest in properties and sell them quickly, or rent them out and wait for them to appreciate. This is precisely the way that many people have made fortunes in the fast paced California housing market.

This isn’t necessarily great news for these new markets, as the flurry of activity often sends home prices rising. The good news for NC residents is that most California investors are setting their sites on places closer to home like Arizona, Oregon, and Nevada.

But aside from the rich investors, there are plenty of average people who simply cannot afford to live in California any longer and looking to places like North Carolina where they can buy a home, enjoy life, and raise their families.

Tags: Triangle Real Estate //