Category: Economy

Site Selectors Guild Activity Outlook

The latest survey of the Site Selectors Guild views on site selection activity and trends is attached and I have a few comments. While I generally agree with the greater optimism, I’m more cautious and think that there are uncertainty and nuances to consider.

Guild members are much more optimistic today than in April last year, at the depth of the Covid-19 recessions and uncertainty, that companies will move forward with site selection projects. The pace and coverage of Covid-19 vaccinations is an obvious concern. Second, some projects, such as facilities with long planning and construction timelines and notably those tied to e-commerce such as data centers, e-commerce fulfillment centers, delivery equipment and others seem to have hardly paused. I spoke yesterday to representatives from California’s Central Valley who said that e-commerce fulfillment has been strong throughout in their area driven by access to LA and the Bay Area combined with available land and lower costs.

There is a difference between site selection activity and starting construction. Companies may resume their site searches, but at some time they have to weigh their views of future economic activity and demand for their products and decide whether to start construction or not. Increased activity is not the same as increased investment. We’ll see, but my feeling is that the second half of the year or early 2021is more promising for increase divestment.

I think that stabilization of FDI into the U.S. is more likely than growth. Greater predictability of trade and tariff policy and reliance on rules-based procedures will help confidence. But FDI into the U.S. also depends on pandemic control progress and economic stability in historical investment sources from the EU and other developed countries.

There will the continued pressure for reshoring and crating redundancy particularly in health care related industries where bottlenecks and delays were heightened during the pandemic response. However, supply chains are complicated, and many recent articles have pointed out that supply chains for products as diverse as bicycles and computers are concentrated in east and southeast Asia and this will constrain reshoring in the near term and likely longer. As the Economist noted recently: “Is a wave of supply-chain reshoring around the corner? Experience and evidence suggests they are stickier than you think.”

https://siteselectorsguild.com/news/site-selection-predictions-2021/

Migration has turned the Central Valley into a suddenly hot housing market

A dozen years ago, the sprawling subdivisions of San Joaquin County became a national symbol of the financial crisis: cul-de-sacs lined with foreclosed homes and half-built neighborhoods abandoned by bankrupt speculators. Now builders in places like Tracy, Lathrop and Mountain House have a new problem. They can’t build homes fast enough to meet the demand of families looking to relocate from the Bay Area.The pandemic-driven desire for more living space, coupled with the freedoms afforded by corporate work-from-home rules, is luring thousands of Bay Area families over the Altamont Pass to planned communities where homes are often bigger — and 50% cheaper — than they are in Dublin or Fremont or San Leandro. Nowhere is the trend more pronounced than River Islands, a 5,000-acre development on the San Joaquin River in Lathrop that includes 13 man-made lakes and miles of riverfront trails. Schools, ball fields, parks and fire stations make up a community that will eventually include 11,000 single-family homes and another 4,000 apartments and condos clustered around a new town center.

After selling 371 homes in 2019, River Islands saw a 57% increase in 2020, with 641 sales. And the share of its buyers relocating from the Bay Area jumped, from 55% to 76%. About 2,300 families have moved in so far, and there are 1,500 kids — a number expected to eventually reach 9,000, according to the developer. “Our builders have so much demand they have waiting lists,” said River Islands Development President Susan Dell’Osso. “They are basically doing custom builds for every home buyer.”

Data from the United States Postal Service backs up the claim that the out-migration from the Bay Area to San Joaquin County is picking up. Between March and November, at least 6,320 households moved to ZIP codes in San Joaquin County from one of these Bay Area counties: Alameda, Contra Costa, San Mateo, Santa Clara, San Francisco and Marin. That’s a 22% increase over 2019. Sales are also exceeding expectations at Tracy Hills, a 5,000-home development west of Lathrop, according to John Stanek, a partner with Integral Communities, the master developer. Tracy Hills sold 400 homes in 2020. The project opened in the late spring of 2019, so there is nothing to compare the sales to, but the pace easily exceeded expectations.

The out-migration to the Central Valley is being driven by the Bay Area’s astronomical home prices and the fact that builders have failed to create enough housing to satisfy demand. Neighborhood opposition to development is widespread, and Bay Area developers often spend years bogged down in lawsuits before winning approvals. Homes at River Island average about $225 a square foot, compared to $375 in Hercules, $506 in Livermore, $533 in San Leandro and $711 in Fremont.

While many of the new residents are currently able to work from home, the danger is that remote employment may not last and that the Central Valley influx will worsen the environmental issues the Bay Area has been grappling with for years — clogged freeways, marathon commutes and cars pumping even more carbon dioxide into the air, according to David Garcia, policy director for the Terner Center for Housing Innovation. A 2019 study by the Bay Area Economic Institute found 80,000 commuters drive between the northern end of San Joaquin County and the Bay Area, an average of 120 miles, 75% of them alone in a car. “Traffic was very bad before COVID, and may be worse after COVID,” said Garcia, who was raised in Stockton and used to make the 2 ½-hour commute to Berkeley. “Having the Central Valley be the Bay Area’s affordable housing option is not an optimal outcome.”

Virgra Banaag, who goes by the name Bing, said that she was not really in the market for a new home when she checked out River Island while visiting her sister nearby. Her family of four — her husband is an electrician and her kids are 7 and 13 — were living in Hercules and had expected to stay. When she toured an open house in River Islands, “the house called to me.” They decided to move. “I had never even heard of River Islands before, and now everybody wants to live here,” she said. “It’s the talk of my friends right now.”

Leslie and Chad Bourdon moved to River Islands with their two kids just a few months before the pandemic hit. They had previously lived for 13 years in San Francisco and four years in Marin. Chad Bourdon is a co-owner of 25 Lusk, the fine-dining establishment in downtown San Francisco. Leslie Bourdon said they had been looking for a year for a house that had good schools and enough living space. Having grown up on Cape Cod in Massachusetts, she was drawn to the waterfront. The family put in a pool and have a private dock where they keep paddleboards, kayaks and a pedal boat. She said her Bay Area friends were surprised by the move. “You say ‘Lathrop,’ and people say, ‘Where is that?’ You say ‘Central Valley’ and people from the Bay Area cringe, thinking, ‘yikes.’”

Paul Jorge Dizon, a nurse who works at Kaiser Permanente, was paying $3,100 a month for his apartment in Hayward. He set out looking to buy something and quickly determined that on his budget, between $500,000 and $600,000, he could not afford anything in the Bay Area. In Tracy Hills he found a 2,500-square-foot house for $570,000. “You are away from the hustle and bustle of the Bay Area, but not too far,” he said.

Dean Wehrli, Northern California principal for John Burns Real Estate Consulting, said that River Islands is the best-selling planned community in the state. Wehrli said the influx has been driven by Silicon Valley workers who are more likely to be able to continue to work from home at least some of the time. “In the back of their mind, they are thinking that if they are called back into the office two or three days a week, it’s a terrible but doable commute,” he said. “Whereas Fresno or Reno or Boise are not.”

Newark-based mover Jose Martinez said about 20% of his business is Central Valley relocations, up from 10% a year ago. “Every time it’s always the same story,” he said. “Prices in the Bay Area are skyrocketing, and people find it easier these days to live in a home with bigger dimensions.” He is considering making a move himself. “I definitely have my eye on Manteca.”

North Fork Rancheria launches new business to support jobs, local economy

For Immediate Release: North Fork, California, January 28, 2021– During a time when the region has been impacted by the COVID 19 pandemic and devastating Creek Fire, a new business blossoms in the foothills of Madera County. In a continued effort to promote economic development for its tribal citizens and community, the North Fork Rancheria of Mono Indians of California (NFR or ‘Tribe’) is announcing plans to open an automotive shop in February of 2021.

The federally recognized Indian Tribe’s latest commercial venture will be located at the North Fork/’Old’ Mill Site at the corner of Road 225 and Douglas Ranger Station Rd. North Fork Rancheria Automotive Repair (NFRAR) will officially open its doors with a soft-opening ceremony scheduled for February 1, 2021. Due to the COVID19 Pandemic, a Grand Opening Celebration will be scheduled as soon as health experts determine it is safe to gather. New clients will be offered many service specials during February.

Tribal Economic Development

NFR Automotive Repair is a wholly owned subsidiary of the North Fork Rancheria Economic Development Authority (NFREDA), an unincorporated governmental instrumentality of the North Fork Rancheria of Mono Indians. NFREDA was established to improve the lives of Rancheria citizens by growing employment and business opportunities as well as funding sources for diverse tribal programs.

The new venture will generate new jobs and roughly $170,000 in new annual revenue for the North Fork area, providing local area residents a way to shop and invest locally. Proceeds from the operation will fund tribal social, training, and assistance programs for enrolled citizens, further benefiting the surrounding community.  “The Tribe is proud to be a long-standing partner in developing Eastern Madera,” said Elaine Bethel-Fink, NFR Tribal Chair, “especially in a key service industry like this that is underserved locally.

NFR Auto Repair is not the NFREDA’s first business venture. In 2019, NFR opened the Nim Nobe General Store, located at 32555 Way Up Way in North Fork. Lacking any casino funding, the Tribe has nonetheless managed to take the lead to build, expand, or refurbish numerous businesses and community assets, including a Tribal Headquarters Office, Community Center, Family Wellness Youth center, Volunteer Fire Station, TANF Social Services Building, Transportation & Training Center, Low-income housing, a water storage tank, Sierra Mono Museum Expansion and Renovation, and future Cultural and Environmental Protection Center. “This is what great tribal-local partnership looks like,” said Bobby Kahn, Executive Director of the Madera County Economic Development Commission (EDC), “and we look forward to more things to come.”

In keeping with the health concerns of the times, NFR Auto Repair personnel will take necessary precautions to maintain a clean environment.  Employees will wear gloves.  Steering wheel covers, floor mats, and seat-covers will be used while operating customer vehicles.  Customers with access to computers have the option of touchless repair orders and invoicing. For more information find us on Facebook, and our google business site https://nfrautorepair.business.site

https://www.northforkrancheria-nsn.gov/north-fork-rancheria-launches-new-business-to-support-jobs-local-economy/

UC Merced generated $500M in one year for San Joaquin Valley economy, report shows

A report commissioned by UC Merced’s chancellor shows the university has generated thousands of jobs — and hundreds of millions of dollars — for the San Joaquin Valley’s economy. Conducted by international market analysis firm Emsi Inc., the campus’s inaugural economic impact report indicated a total of $514.6 million was contributed to Valley’s economy by the university in fiscal year 2018-19 alone, helping create 5,560 jobs. For Merced County, the university generated $372.9 million and 4,109 jobs. “Like the Merced community, UC Merced is a dynamic institution with change on the horizon as we grow and expand,” Chancellor Juan Sánchez Muñoz said in a news release.

The report looked at how salaries and spending shaped the community, plus how the university generated a return on investments to its major stakeholders — students, taxpayers, and society at large. Students — specifically off-campus students — spent money on groceries, accommodation, transportation, and other household expenses, which contributed $27.4 million to Merced County’s economy and supported 564 jobs countywide. UC Merced’s student population for fall last year was more than 9,000.

The benefits created by UC Merced extend to state and local governments through increased tax revenues and public sector savings. “The university’s reputation and activities attract visitors and students from outside Merced County, whose expenditures benefit county vendors,” part of the report said. “In addition, UC Merced is a primary source of higher education to Merced County residents and a supplier of trained workers to county industries, enhancing overall productivity in the county workforce.”

The university regularly encourages students to volunteer in Merced County, which allowed room for growth for business and organizations, according to the report. As a result, students added $243.9 thousand in earnings to the county’s economy, and student volunteers “generated $368,000 in added income for the county in fiscal year 2018-19,” which is equivalent to supporting 15 jobs. Alumni produced $11.4 million in added income for the county’s economy, which equates to supporting 132 jobs. “This means that one out of every 26 jobs in Merced County is supported by the activities of UC Merced and its students,” the report said. “In addition, the $372.9 million, or 4,109 supported jobs, stemmed from different industry sectors. UC Merced’s spending and alumni in the construction industry sector supported 1,785 jobs in fiscal year 2018-19. These are impacts that would not have been generated without the university’s presence in Merced County.”

Ultimately, the report said the university creates value from multiple perspectives, from benefiting county businesses through consumer spending and supplying qualified and trained workers to different job fields.

https://www.mercedsunstar.com/news/local/education/article248883934.html

Southwest Airlines to begin flights from Fresno airport on April 25

The discount airline based in Dallas, Texas, plans to have a daily Fresno flight to and from Denver starting at $69 each way and three flights to and from Las Vegas starting at $39 each way.

Travelers can connect to more than 50 other cities from Denver or Las Vegas. “We’re boldly launching this eagerly anticipated new year by doubling-down on our consistent commitment to California to offer our value and flexibility to now 13 airports in the state,” said Andrew Watterson, Southwest Airlines executive vice president and chief commercial officer. “Not only does Southwest Airlines celebrate 50 years of service in 2021, we’re gratefully acknowledging the support of Californians who have made us the largest air carrier of fliers traveling nonstop to, from, and within The Golden State for 20 consecutive years.” The airline is accepting Fresno bookings immediately online or by phone at 800-I-FLY-SWA.

https://www.msn.com/en-us/travel/news/southwest-airlines-to-begin-flights-from-fresno-airport-on-april-25/ar-BB1cXQSQ#:~:text=Southwest%20Airlines%20to%20begin%20flights%20from%20Fresno%20airport,offer%20flights%20at%20Fresno%20airport%20in%20spring%202021

DOWNTOWN MADERA BREAKS GROUND ON $24.69M HOUSING PROJECT

The City of Madera held a virtual groundbreaking on a new $24.69 million affordable housing project in the city’s downtown district on Tuesday morning. The 48-unit community will consist of two three-story buildings, funded in part by more than $11 million from the California Strategic Growth Council as part of cap-and-trade proceeds. Other funding sources include the city, which owned the parcels, the Redevelopment Successor Agency, Madera County Behavioral Health Services, tax credit equity and private loans.

It’s the first new development that the downtown area has experienced in many years. It could be completed as early as the third quarter of 2021 “We have been trying to make improvements in downtown Madera for years,” said Madera Mayor Pro Tem Santos Garcia in a video released about the project. “For us to be awarded these monies, over $11 million to start this project means more affordable housing and an uplifting of our downtown area, making it a better place for people to come and live, and be able to come and shop.”

The project at the corner of Fifth and C Streets includes 18 studios, 10 one-bedroom, 12 two-bedroom and 8 three-bedroom units geared toward veterans and families Approximately $3.8 million of the award will go to the City of Madera for transit, pedestrian and bike improvements throughout downtown, including 27,000 linear feet of new sidewalks, and an adult bike share program which will be implemented by the Madera Police Department.

A large network of community stakeholders and funding partners worked on the project for over a year including the Successor Agency, Madera County Veterans Service Office, Madera County Behavioral Health, Housing Authority of Madera, Community Action Partnership of Madera County, Madera County Transportation Commission, Madera Downtown Association, Madera County Arts Council, Madera Unified School District, and many others. MORES and Pacific West Communities are the developers for the project. Development services resulting in the grant award were provided by Sigala Inc., a local urban planning and real estate firm.

https://thebusinessjournal.com/downtown-madera-breaks-ground-on-24-69m-housing-project/

Southwest Airlines Intends To Serve Fresno And Santa Barbara

“Our arrival in the Heart of California, both on the Central Coast and in the Central Valley, will round out nearly four decades of investment in our California Customers and communities,” Southwest Airlines Chief Commercial Officer & Executive Vice President Andrew Watterson said. “While other airlines seem to fall in and out of love with the state, we’re focused on increasing the reach of our low fares and flexible policies in places where we expect them to make a difference.”

“For years residents and businesses throughout Central California have expressed a desire for Southwest service and connectivity to their vast network of destinations and renowned customer service,” said Kevin Meikle, Director of Aviation for Fresno Yosemite International Airport. “Southwest will expand the Central Valley’s air transportation gateway to Yosemite, Sequoia and Kings Canyon National Parks, and we look forward to our new partnership with Southwest and their arrival in the spring.” “We salute Southwest’s bold decision to enter one of the most vibrant and beautiful regions in California, bringing visitors to our sweeping coastline to experience our mild Mediterranean climate and distinctive Spanish-influenced architecture,” said Mayor Cathy Murillo of Santa Barbara. “For our residents, our partnership with Southwest will energize the economic rebound to come in 2021.”

Along with Palm Springs, which received its first Southwest flight on Nov. 19, 2020, the addition of Fresno and Santa Barbara will position Southwest Airlines as an option in 13 California airports before summer 2021, further deepening the carrier’s commitment to the Golden State. Southwest long has carried more air travelers to, from, and within California than any other carrier, a legacy sustained in the most recent reporting of U.S. Department of Transportation data on airline passengers traveling nonstop.

https://www.bloomberg.com/press-releases/2020-12-16/southwest-airlines-intends-to-serve-fresno-and-santa-barbara#:~:text=Southwest%20Airlines%20Intends%20To%20Serve%20Fresno%20And%20Santa,International%20Airport%20in%20the%20second%20quarter%20of%202021.

FRESNO COUNTY ECON FORECAST: BRICK-AND-MORTAR TRANSITIONING, BUT HERE TO STAY

Fresno County businesses, farmers and retailers have weathered a tornado of unpredictable events in 2020. But in 2021, commercial and residential real estate are expected to thrive. Ethan Smith, a broker at Newmark Pearson Commercial in Fresno, specializes in industrial real estate. He says that Fresno’s commercial real estate market is growing. “Industrial has continued to be incredibly active since we sort of shifted gears due to the pandemic,” Smith said.  He said demand continues to outpace supply, but it can take a while for pricing to catch up to market changes.

Spring brought concern about the economy, but conditions are not looking nearly as poor as experts first thought. “As things have settled down, we haven’t seen the doom and gloom predictions that people have thought,” Smith said.  Industrial firms were deemed essential from the start, which might have helped, and will continue to help in 2021. “Small businesses locally tend to be pretty resilient; we actually still see demand because businesses are growing,” he said.

Some businesses need to lease more space. However, growth can be tough between businesses and banks. “Banks are being more judicious with their lending. However, we’re not seeing the same things during the financial crisis where liquidity just went away,” he said. Low interest rates means cash is cheap at the moment.

The housing market is also booming, and will continue to stay that way in the near future. But Smith and Danyelle Conner, real estate agent at London Properties in Fresno, said it’s because inventory is low. Thus, prices continue to climb. “The market right now continues to be pretty hot,” Conner said. Traditionally November slows down because people like to decorate their homes for the holidays, Conner says. “But as par for the course this year, nothing has been traditional with Covid, and we’re not really seeing a slowdown like we typically would expect right now,” Conner said. “Buyers are also willing to pay the prices sellers are asking, but I have had a few issues with appraisals lately,” Conner said. “Buyers are willing to pay it, but appraisers are not willing to give it the value.” This has potential to make buyers want to come down on the price if appraisers think it’s too high.

Office space has not died off as first predicted. Projects are still under construction because people want to work in a collaborative, in-person setting. Small and medium sized businesses rely on the office because of the lack of accommodation for sophisticated information systems available working from home. “The obituaries that were written about the offices were incredibly premature. And there’s no obituary,” Smith said.  Many office workers have been negatively affected by school closures, as was the agriculture industry, which delivers mass amounts of fruit, vegetables and milk to grade schools. Ryan Jacobsen, CEO of Fresno County Farm Bureau, says that Covid will continue to play a role in the 2021 agriculture forecast. “Overall, the commodities definitely are lower than what we’ve seen in the past decade, and a lot of that is attributed to the softer foreign markets for some of the products that are more heavily demanded worldwide,” Jacobsen said. This will play a role in foreign trade in the Covid era looking into 2021. “Central Valley agriculture is very dependent upon foreign trade, and so our hope is that the worldwide economy still demands California produce,” Jacobsen said.

Jacobsen hopes the United States-Mexico-Canada Agreement and U.S.-China Phase 1 trade deal will pay dividends in 2021. Aside from Covid-related differences, water runoff was below average year, so the agriculture industry hopes to have a better water year in 2021 because it means more crops in the ground. In 2021, retail giants like Amazon, Target, and Walmart could change the small business front. “The retail industry already was changing. The pandemic — people staying home — has only accelerated what was already happening,” Smith said. There is a shift as retailers occupy more warehouse space and use their own delivery infrastructure to accommodate consumers quicker, which could spur industrial construction. “The expectation on the customer’s end is not waiting five to seven days for delivery anymore,” Smith said.

The outlook for restaurants is certainly not bright, especially as Fresno County reenters the most restrictive purple tier on the state’s lockdown list. This week, Fresno Mayor-elect Jerry Dyer said on a panel discussion with California mayors that 30-40% of restaurants in Fresno will never open again, reported gvwire.com. Smith says we will continue to see the weeding out of businesses who can’t survive the temporary 30-40% decrease in sales until the economy levels out, which may occur in summer 2021. But online retailers born during the pandemic also see the value of operating a brick-and-mortar.  Nicole Zieba, Reedley city manager, and Alex Henderson, Kingsburg city manager, both remain optimistic about 2021. Reedley has a 90-day operating fund reserve for 2021. And both Kingsburg and Reedley cities show rapid commercial and residential development.  For instance, Reedley has been targeting advanced food manufacturing to reported success.

Then there is the incoming T-Mobile call center in Kingsburg, which Henderson says will bring 1,000 jobs to the city. The 100,000 square foot customer experience center is slated for early 2021, after being on hold for the past year.

https://thebusinessjournal.com/fresno-county-econ-forecast-brick-and-mortar-transitioning-but-here-to-stay/

Top World Region – San Joaquin Valley Agriculture

Fresno County is home to over 1.4 million acres of productive pasture and farmland. It remained the top ag county in the state and nation. Ag commissioner Melissa Cregan delivered the crop report to county supervisors. Cregan told the board, “The 2019 gross production value for agriculture in Fresno County was $7.718 billion.”

That figure was down 2% from a year ago but the battle to be the number-one ag producer was extremely tight among valley counties. Fresno County topped the list at $7.71 billion. Kern County was right behind at $7.62 billion, while Tulare County was at $7.50 billion.

Fresno County Farm Bureau CEO Ryan Jacobsen explained, “In a year like this year, you really appreciate that the value that every single farmer contributes really makes that difference.” The pandemic decreased demand for some crops during the spring. In April, we watched some lettuce get disced back into the ground because orders for restaurants and schools were canceled due to a sudden drop in demand in the foodservice industry. Cregan said, “Fresno County’s agricultural strength is based on the diversity of the crops we produce.”

Over 300 crops were grown in Fresno County. Seventy-eight of them topped $1 million in annual ag production. Jacobsen said, “The shining star once again was almonds, saw a dramatic increase there. A lot of that was acreage based.” Almonds were worth over $1.5 billion in 2019.

The number-two crop, grapes, dipped under the billion-dollar mark though. Jacobsen said, “Table grapes, wine grapes as well as raisins. It’s been tough for the local grape industry.” Pistachios, poultry and milk rounded out the county’s top five crops. Cregan thanked local growers and ranchers for their resiliency during a tough year. She said, “All the glory goes to the farmers because they’re the ones producing these crops and placed us where we are.” International trade was down. Ag officials believe continued challenges posed by the pandemic may lead to lower production numbers next year.

https://secureservercdn.net/198.71.233.111/c75.1d5.myftpupload.com/wp-content/uploads/2020/12/Kern-EDC_Ag-Flyer_2020.pdf

The Hottest Housing Markets Right Now In 2020

15 Housing Markets That Are Hot in 2020

The 15 hottest housing markets in 2020 are spread out across the U.S., though there are some geographic patterns. Out west, California, Idaho and Utah are home to several of the hottest housing markets. In the east, the hottest housing markets can be found in the Mid-Atlantic region and New England. Beyond that, Indiana, Oklahoma and Texas are the other remaining places home to the hottest housing markets. The coldest housing markets, on the other hand, are heavily centered on vacation spots — like cities in Florida, Hawaii and Nevada — as well as densely-populated coastal metropolises like San Francisco and New York, the latter of which was hit the heaviest by the Covid-19 pandemic in its early stages. Read on to find out the 15 hottest housing markets of 2020.

7. Stockton, California

Stockton has been on a sustained path of growth over the years in terms of its population and economy. The Stockton metro area offers homes that are more affordable compared to other major cities in the California housing market, but prices are rising. The median list price for a home in the Stockton area was under $390,000 two years ago, but has now reached $472,250, a 21.6% increase — roughly $84,000 — from September 2018 to September 2020.

Rising home prices have been coupled with tightening inventory and fewer days on market. Last September, Stockton homes spent a median of 27 days on the market before being sold. Only a year later, the average amount of time is down to a mere 10 days on the market before getting grabbed up. With houses flying off the shelf in the Stockton metro area, available inventory has dwindled. From having more than 1,700 homes for sale in September 2018, Stockton now has only 616 available homes as of September 2020 — a decline in inventory of nearly 65% in only two years.

11. Fresno, California

The Fresno metro area is another California housing market that’s hot this year, with homes flying off the market shortly after they’ve been put up. Since 2012, the record for fewest number of days a home spent on the market in Fresno was 14 days back in July 2017. That record, however, was trounced in September 2020 when homes spent a median of just 9 days on the market before being sold. As a result, Fresno’s housing inventory has shrunk from nearly 2,000 available homes for sale in September 2018, to only 805 homes as of September 2020. Like many other housing markets on our list, Fresno’s inventory has dropped by more than half in only two years, putting a serious squeeze on homebuyers to find places for sale, let alone finding deals.