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California Housing Crisis Forces Residents to Relocate

California Housing Crisis Forces Residents to Relocate
Editorial
  • PublishedSeptember 16, 2025

California’s ongoing housing crisis is prompting many residents to relocate to other states as the cost of living continues to rise. The recent passage of Senate Bill 79, which allows for the construction of dense multifamily housing near high-frequency transit stops, has reignited debates over local control and zoning laws in the state. With the bill now awaiting the signature of Governor Gavin Newsom, the implications of this legislation could be significant for the future of housing in California.

For decades, California has struggled to provide affordable housing options, particularly in its coastal cities. While cities around the world, such as Copenhagen and Auckland, have successfully implemented strategies to address housing shortages—Copenhagen with 20% of its housing stock designated as social housing and Auckland experiencing a rent reduction of 28% following government reforms—California’s approach has been markedly different. The state’s dual strategy has involved extensive freeway systems and reliance on inland counties, leaving many low-income residents facing displacement.

The consequences of these policies are dire. According to the Joint Center of Housing Studies at Harvard University, six of the ten metropolitan areas in the United States with the highest percentage of cost-burdened households are located in California. In the Los Angeles metro area alone, approximately one in three renters spends more than 50% of their post-tax income on rent. Furthermore, as of last year, San Francisco had approximately 1,000 more homeless individuals than the entire state of Missouri.

The root of California’s housing crisis is straightforward: the state has failed to produce enough new housing over the past 40 years to meet demand. Compounding this issue is the reality that most new homes are built far from the coastal job centers, leading to longer commutes for workers. For instance, about 11% of residents in San Joaquin County and 7.6% in Riverside County endure daily commutes exceeding 90 minutes each way. These long journeys not only disrupt lives but also contribute significantly to greenhouse gas emissions.

As displaced residents move further inland, they compete with local populations for increasingly scarce housing, driving up prices in regions that lack high-paying job opportunities. This situation emphasizes the need for policies like SB 79, which aim to address the broader implications of land use decisions. When the impact of local zoning policies extends beyond city borders, it is essential that the state has a say in these matters.

The human toll of California’s housing crisis is profound, resulting in both social and environmental repercussions. As more families are forced to leave their homes, it becomes clear that local control over housing cannot be maintained when the consequences affect entire communities.

Stan Oklobdzija, an assistant professor at UC Riverside’s School of Public Policy, underscores the urgency of this issue, highlighting that the long-standing approach to land use policy must evolve in light of the crisis. As the state grapples with these challenges, the future of housing in California remains uncertain, but it is evident that the need for reform is critical.

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