KQED's The California Report

Why Aren't There More Condos For Sale In California?

Dec 10, 2025
Frances Anderton, a KCRW contributor and an expert on housing issues, unpacks the decline of condominium construction in California. She explores how stringent defect liability laws and consumer protections have stifled developers, making condos scarce. With a stark comparison to Canada’s housing market, she highlights the barriers to starter homes for Californians. Proposed solutions, including warranties and deposit systems, offer a glimmer of hope for reviving condo construction and addressing the housing crisis.
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ANECDOTE

Developer's First Condo Became A Legal Nightmare

  • Michael Anderson built six condos in Leimert Park aiming to help Black first-time buyers access ownership.
  • He was inundated with lawyer solicitations and never built condos again because defect liability made the risk unbearable.
INSIGHT

Liability Rules Crushed Condo Production

  • California's 10-year defect liability elevates litigation risk and insurance costs for condo builders.
  • That legal environment helped shrink condos to only about 3% of new multifamily homes in the 2010s.
INSIGHT

California Creates A Homeownership Dichotomy

  • Condos are common starter homes elsewhere but rare in California due to policy and market differences.
  • The state now creates a dichotomy where many who can't afford single-family homes are stuck renting.
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