California Love

Here's reason to be optimistic that the housing bubble won't be bursting anytime soon: People keep coming to California. And coming.

According to the Associated Press, California will bulge with 12 million more folks by 2030, keeping it the most populous state in the nation:

California is in the midst of a population swell from 33.87 million in the 2000 Census to 46.44 million in 2030 — adding as many people as now live in Pennsylvania, the sixth-largest state.

Population growth will bring California added clout in Congress. The state is expected to add two U.S. representatives by 2030, making it one of only 10 states to gain lawmakers.

Nearly one in eight Americans lives in California, home to about 35.89 million people last year.

Most are clustered in massive coastal cities, but booming inland communities, such as those in Riverside and San Bernardino counties, have become the top people magnets because of their cheaper housing and new jobs.

As for the housing issue, if you bought in 2004 (like we did), you're praying each day that the long-rumored burst is just that -- a rumor. And so far, in talking to friends who are still looking, I'm heartened to see that at least we didn't buy at the absolute peak.

UPDATE: No bubble yet, according to the Daily News, which reports that the median price of a home in the Valley soared to $525,000 in March, up 18.8 percent (or $83,000) from last year. That's a new record.

Sez the paper: Nima Nattagh, a market analyst at the DataQuick Information Systems unit AVM Fusion, said that the modest rise in interest rates is not slowing activity. And the tight inventory continues to push prices.

"Typically summer is the season when things start to pick up. It will be interesting to watch the market over the course of the next several months," he said.

And if the market is going to slow the signs should appear by then, Nattagh said.