LOS ANGELES, Calif. (WHN) – Californians are holding onto their homes longer than the national average, with residents in coastal and San Francisco Bay Area metros leading the trend, according to third-quarter homeownership data. The Attom study, which analyzed 114 metropolitan areas, found a widening gap in homeownership duration between California’s coastal regions and its inland areas.
In the 13 metros near the coast or San Francisco Bay, the median length of ownership stood at 11.8 years. This contrasts with 10.5 years in the 14 inland metros examined. The disparity is not new; a decade ago, the gap was 9.5 years for coastal areas versus 8.7 years inland.
The longevity spread is increasing. Ownership duration has grown by 2.3 years on the coast since 2015. Inland, this growth has been less pronounced, at 1.8 years.
Affordability issues are cited as a primary driver of this divide. Historically low mortgage rates from the pandemic era now make relocation financially challenging as rates approach historic norms. Homeowners realizing substantial gains also face tax implications when considering a move. Coastal markets, with their higher housing prices, present prohibitive costs for relocation within or into these areas.
Conversely, more affordable inland metros have attracted Californians, particularly those seeking newly constructed homes. This influx of new residents and construction appears to moderate homeownership longevity in these regions.
Nationally, the median ownership duration for 87 metros outside California was 8.7 years in the third quarter. This figure represents an increase of just 1.1 years from 7.6 years in 2015.
Within California’s 10 most populous metros, ownership durations varied, with coastal and Bay Area locations generally showing longer stays. San Francisco reported the longest tenure among these, with sellers owning their residences for 13.1 years. This placed San Francisco second nationally among the 114 metros studied and marked an increase of 3.4 years.
Ventura County followed with a median ownership of 12.6 years, ranking ninth nationally. San Jose reported 12.5 years, securing the tenth spot nationally, and showed an increase of 2.8 years.
Sacramento sellers held their homes for 11.2 years, ranking twenty-seventh nationally. The Los Angeles-Orange County area and San Diego both recorded median ownership lengths of 11 years, placing them thirty-first and thirty-second nationally, respectively. Both areas saw ownership durations increase by 1.9 years.
Stockton sellers averaged 10.9 years of ownership, ranking thirty-third nationally. This duration saw a significant increase of 3.1 years.
Fresno homeowners stayed for 10.7 years, ranking thirty-fifth nationally, with an increase of 1.4 years. Bakersfield and the Inland Empire metro area both reported median ownership lengths of 10.2 years. Bakersfield ranked thirty-ninth nationally, showing a 2.3-year increase, while the Inland Empire ranked fortieth nationally with an 1.8-year increase.
Jonathan Lansner, business columnist for the Southern California News Group, provided the analysis.