San Diego and 12 California Cities Where the Cost of Living May Go Up Trump Now That Is President
Written by
Marc Guberti
Edited by
Zuri Anderson
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Real estate prices have risen considerably over the past few years, and most places may end up with higher prices under President Donald Trump’s second term.
Real estate investors and homeowners who are seeking properties in California may want to look out for rising prices in these cities.
Coastal Cities
Cory Pinter, a real estate investor with Inherited House Guide, quickly mentioned Los Angeles and San Diego as California cities that will become more expensive.
“The cities along the California coast will have the highest cost of living during Trump’s second term,” Pinter said. “Los Angeles and San Diego are already among the most expensive, and that trend will accelerate due to insurance and food prices.
“Fuel taxes in the Golden State are significant, and those will continue an upward spiral. I predict additional fuel taxes will cover the damages done to infrastructure during the fires.”
Coastal Cities That Need to Modify Their Water Systems
Pinter also mentioned several coastal cities that have fire risks and must modify their water systems.
“Coastal cities with fire risks (Santa Monica, Venice, Malibu, Ventura, Santa Barbara) will need to modify water systems, and it’s doubtful the federal government will supplement any of that construction cost,” according to him.
“Residents will end up paying for those upgrades with higher water prices and through additional Mello-Roos taxes. Even though these taxes are levied on property owners, landlords will pass the fees onto renters.”
Inland Cities Like the Pasadena Area
Pinter listed several inland cities that will end up with higher insurance premiums.
“Inland cities in areas with high fire risks will also see a dramatic increase in insurance premiums, adding to the already high cost of living,” the real estate investor noted.
“These include the residential neighborhoods along the Sierra Madre mountains (Pasadena area), Tustin foothills, new housing developments near Mission Viejo, and the canyons in Orange County: Silverado, Sand and Trabuco.”
Fresno
Fresno can become more expensive during Trump’s second term, according to Holden Andrews, California-based real estate investor and founder of Helpful Home Group.
“I think the agricultural hubs of California like Fresno are going to be more expensive because there is a big population of [immigrants living illegally in the U.S.] in agriculture,” he said. “With Trump wanting to do a mass deportation, that could result in the food prices rising since these companies will lose access to the cheaper labor.”
While this development can result in higher prices for Fresno, Andrews explained how the deportation can have a broader impact on food prices.
“I think this rise in prices for agricultural products will have a farther reaching impact than just Fresno or the other cities, because according to the California Department of Food and Agriculture, California produces one-third of the country’s vegetables and over three-quarters of the country’s fruits and nuts. So, the whole country will continue to feel this cost of living increase,” he concluded.
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