Jim Geraghty, Senior Political Correspondent for National Review, has highlighted California’s affordability crisis, citing extreme housing costs, high poverty rates, and growing homelessness. His statement was made on the social media platform X.
“California has one of the three highest costs of living of any state,” said Geraghty. “Housing costs in California are more than twice as high as the national median and rents are about 50 percent higher. About one-third of Californians live at or near the poverty level. In the past decade, homelessness has increased 60 percent.”
According to the Pacific Research Institute, California’s legal environment, including construction defect litigation laws and local regulatory barriers, discourages housing development. These factors significantly increase risk and cost for builders, contributing to the state’s housing shortage.
The institute found that legal barriers in California contribute to housing scarcity by raising costs and deterring new developments. Builders face higher legal risks and insurance premiums, which reduce the incentive to build affordable housing, especially condominiums. These conditions are a significant driver of the state’s limited housing supply and affordability crisis.
California had the largest homeless population in the country in 2024, with more than 181,000 individuals recorded in the U.S. Department of Housing and Urban Development’s Point-in-Time count. This figure represented nearly 30% of the total national homeless population. The state also experienced a 20% year-over-year increase in chronic homelessness.
The California Globe reported that the state’s median home price was $790,000 in mid-2024, more than double the U.S. median of $396,000. In high-cost counties such as Santa Clara and San Mateo, median prices exceeded $1.4 million. These housing costs significantly outpace income growth and limit homeownership opportunities for middle-class families.
Geraghty is a seasoned political correspondent who has covered U.S. politics for over two decades. He is an author of several books and began blogging for National Review Online in 2004.
