1 00:00:00,480 --> 00:00:04,360 Speaker 1: You're listening to KFI AM six forty on demand. 2 00:00:07,040 --> 00:00:09,000 Speaker 2: With you on a Friday. Good to have you along 3 00:00:09,039 --> 00:00:11,080 Speaker 2: with us. Rents are coming. 4 00:00:10,800 --> 00:00:13,800 Speaker 3: Down, Yeah, cour We've got an exclusive early read on 5 00:00:13,880 --> 00:00:17,040 Speaker 3: November rent data out tomorrow, and it shows that continued 6 00:00:17,079 --> 00:00:20,319 Speaker 3: new supply and weaker demand are pushing vacancies up and 7 00:00:20,360 --> 00:00:21,000 Speaker 3: rents down. 8 00:00:21,720 --> 00:00:26,599 Speaker 2: Rents down. It's amazing, right, I mean, when do you 9 00:00:26,640 --> 00:00:30,440 Speaker 2: ever hear that? But the apartment rents fell one percent 10 00:00:30,960 --> 00:00:34,800 Speaker 2: in November from October. Uh, it was the fourth consecutive 11 00:00:34,800 --> 00:00:39,880 Speaker 2: month over month decline and now they are falling five 12 00:00:39,920 --> 00:00:44,440 Speaker 2: percent total since their peak in twenty twenty two. Five 13 00:00:44,479 --> 00:00:48,240 Speaker 2: percent's not insignificant. Now this is an average, but it's 14 00:00:48,280 --> 00:00:52,400 Speaker 2: going in the right direction. And everybody talks about the 15 00:00:52,520 --> 00:00:57,000 Speaker 2: unaffordability of southern California, and because what they're saying is 16 00:00:57,000 --> 00:01:00,360 Speaker 2: the rent is too high, and everybody's trying to figure out, 17 00:01:00,400 --> 00:01:02,200 Speaker 2: how do we stop the rent from going up. Let's uh, 18 00:01:02,320 --> 00:01:05,040 Speaker 2: let's bring in rent control, let's have a rent freeze, 19 00:01:05,240 --> 00:01:08,759 Speaker 2: let's hang the landlord from his Buster Browns. And none 20 00:01:08,800 --> 00:01:11,840 Speaker 2: of that works. The rent control thing really backfired. That 21 00:01:11,920 --> 00:01:14,640 Speaker 2: was a dumb idea. Those of you that thought you 22 00:01:14,640 --> 00:01:19,000 Speaker 2: can control rent by just making the city council in 23 00:01:19,120 --> 00:01:21,960 Speaker 2: charge of telling the landlord how much they can raise 24 00:01:22,000 --> 00:01:24,720 Speaker 2: the rent. That backfired on you because what they did 25 00:01:24,800 --> 00:01:28,160 Speaker 2: is come up with a formula that was depending on 26 00:01:28,240 --> 00:01:31,560 Speaker 2: what city you're in, or if the in LA or 27 00:01:31,720 --> 00:01:35,720 Speaker 2: if the statewide one where it's like inflation plus CPI, 28 00:01:36,080 --> 00:01:38,600 Speaker 2: or they come up with some number and guess what 29 00:01:39,000 --> 00:01:42,679 Speaker 2: inflation went through the roof during the Biden administration. And 30 00:01:42,720 --> 00:01:47,800 Speaker 2: the consumer price index is always higher than your your weight, 31 00:01:48,000 --> 00:01:50,600 Speaker 2: like you raise you're going to that you didn't get, 32 00:01:51,400 --> 00:01:54,400 Speaker 2: so your rent went up higher than the landlord would 33 00:01:54,480 --> 00:01:58,960 Speaker 2: have raised it. And they always raise it the maximum 34 00:01:59,000 --> 00:02:03,840 Speaker 2: amount that they can because they have to. So rent control. 35 00:02:04,000 --> 00:02:09,160 Speaker 2: Really stupid move, really bad idea for keeping rents under control. 36 00:02:09,240 --> 00:02:13,720 Speaker 2: The best thing for keeping rents under control is have 37 00:02:13,840 --> 00:02:20,120 Speaker 2: more apartments. But environmentalists don't like more apartments, and people 38 00:02:20,160 --> 00:02:24,880 Speaker 2: that don't like cars don't like more apartments, and people 39 00:02:24,960 --> 00:02:27,799 Speaker 2: that don't like people don't like more apartments. And there 40 00:02:27,840 --> 00:02:31,320 Speaker 2: are people in Sacramento that don't like people. They don't 41 00:02:31,360 --> 00:02:34,239 Speaker 2: say it like that, but really what they're saying when 42 00:02:34,240 --> 00:02:38,640 Speaker 2: they constrict your ability to get power, constrict your ability 43 00:02:38,680 --> 00:02:41,880 Speaker 2: to get water. What they're saying is we don't want 44 00:02:41,919 --> 00:02:45,360 Speaker 2: houses because we don't want people, because they believe people 45 00:02:45,720 --> 00:02:50,000 Speaker 2: encroach upon the environment. So it's very hard to get 46 00:02:50,240 --> 00:02:54,359 Speaker 2: housing built to accommodate the rate of growth in California 47 00:02:54,639 --> 00:02:58,040 Speaker 2: in the last twenty years. So that puts a shortage 48 00:02:58,120 --> 00:03:02,280 Speaker 2: of apartment buildings and that causes the rents to rise. Okay, 49 00:03:02,360 --> 00:03:05,680 Speaker 2: there you go, little economics lesson. But now the rents 50 00:03:05,680 --> 00:03:06,239 Speaker 2: are coming down. 51 00:03:06,320 --> 00:03:09,400 Speaker 3: The national median monthly rent for apartments fell one percent 52 00:03:09,440 --> 00:03:11,800 Speaker 3: in November from October and now stands at one thousand, 53 00:03:11,840 --> 00:03:13,520 Speaker 3: three hundred sixty seven dollars. 54 00:03:13,680 --> 00:03:15,840 Speaker 2: One thousand, three hundred and sixty seven dollars. That's a 55 00:03:15,919 --> 00:03:24,280 Speaker 2: national average. Yeah, I mean most places in America I 56 00:03:24,280 --> 00:03:25,120 Speaker 2: wouldn't want to live. 57 00:03:25,080 --> 00:03:28,399 Speaker 3: Three hundred sixty seven dollars. It was the fourth consecutive 58 00:03:28,400 --> 00:03:29,560 Speaker 3: month over month decline. 59 00:03:29,600 --> 00:03:32,720 Speaker 2: See now that's big, fourth consecutive month over month decline. 60 00:03:32,880 --> 00:03:36,120 Speaker 2: Remember the lou Penrose rule, it's not where the numbers are, 61 00:03:36,280 --> 00:03:41,360 Speaker 2: it's the direction the numbers are going. And there's every 62 00:03:41,400 --> 00:03:43,400 Speaker 2: reason to believe that it'll be the fifth month in 63 00:03:43,400 --> 00:03:47,040 Speaker 2: a row, because that's the way things work. 64 00:03:47,200 --> 00:03:50,480 Speaker 3: It was the fourth consecutive month over month decline. Apartment 65 00:03:50,920 --> 00:03:53,400 Speaker 3: rents are now down one point one percent from November 66 00:03:53,440 --> 00:03:56,160 Speaker 3: of last year, and have fallen five point two percent 67 00:03:56,480 --> 00:03:58,000 Speaker 3: from their twenty twenty two peat. 68 00:03:58,120 --> 00:04:02,880 Speaker 2: Okay, so since we haven't increase the supply, the only 69 00:04:02,920 --> 00:04:05,280 Speaker 2: thing that could have happened is we've decreased the demand. 70 00:04:05,600 --> 00:04:08,640 Speaker 2: And here's one thing that has happened in the last 71 00:04:08,720 --> 00:04:12,400 Speaker 2: three hundred and twenty days. President Trump has deported two 72 00:04:12,720 --> 00:04:17,159 Speaker 2: million illegal aliens. And I've been saying this for so long. 73 00:04:17,480 --> 00:04:22,719 Speaker 2: People that talk about affordability in southern California and decry 74 00:04:23,000 --> 00:04:26,400 Speaker 2: the ice raids, where do you think the illegals are living? 75 00:04:27,560 --> 00:04:30,680 Speaker 2: They're living in your housing stock. Like when they go 76 00:04:30,880 --> 00:04:33,440 Speaker 2: home from the home depot parking lot, where do you 77 00:04:33,440 --> 00:04:38,600 Speaker 2: think they go. They're not living in Section eight housing 78 00:04:38,640 --> 00:04:41,880 Speaker 2: because they can't qualify for Section eight housing. You can't qualify. 79 00:04:42,040 --> 00:04:43,520 Speaker 2: I mean, you know how long you'd have to wait 80 00:04:43,560 --> 00:04:46,040 Speaker 2: to get into Section eight housing. So like you, an 81 00:04:46,120 --> 00:04:49,039 Speaker 2: actual American living in Los Angeles, You're not going to 82 00:04:49,040 --> 00:04:53,039 Speaker 2: get into Section eight housing. Forget it. It's like trying 83 00:04:53,080 --> 00:04:55,440 Speaker 2: to get into rent control in Santa Monica. No chance 84 00:04:56,000 --> 00:05:00,320 Speaker 2: you'll be dead before that day opens up. So they're 85 00:05:00,320 --> 00:05:02,800 Speaker 2: not getting into low income housing, they're not getting into 86 00:05:02,800 --> 00:05:07,120 Speaker 2: Section eight housing. They're living in what we call market 87 00:05:07,839 --> 00:05:10,640 Speaker 2: rate housing. But they're just living eight of them in 88 00:05:10,680 --> 00:05:14,400 Speaker 2: a two bedroom. And you know this to be true. 89 00:05:15,400 --> 00:05:17,680 Speaker 2: I don't have to spell it out for you. And 90 00:05:17,960 --> 00:05:22,479 Speaker 2: now that the illegals are leaving or being deported or 91 00:05:22,600 --> 00:05:25,440 Speaker 2: one way or the other not here any longer. You 92 00:05:25,520 --> 00:05:30,960 Speaker 2: have all these vacancies. Well, vacancies causes prices to fall 93 00:05:32,160 --> 00:05:35,600 Speaker 2: because the owner of the building, whether it's a real 94 00:05:35,680 --> 00:05:39,120 Speaker 2: estate investment trust and it's run by a property management company, 95 00:05:39,560 --> 00:05:43,680 Speaker 2: or if it's you know, a couple of chiropractors and 96 00:05:43,720 --> 00:05:48,120 Speaker 2: Marina del Rey that own like six four plexes in 97 00:05:48,160 --> 00:05:51,720 Speaker 2: Silver Late whatever like whatever they whether it's a independent 98 00:05:51,800 --> 00:05:55,599 Speaker 2: rental property owners or big corporations that own large apartment 99 00:05:55,680 --> 00:05:58,640 Speaker 2: complexes and communities, whatever it is, if there's a lot 100 00:05:58,680 --> 00:06:01,440 Speaker 2: of vacancies, they will lower the price to fill those 101 00:06:01,520 --> 00:06:05,560 Speaker 2: vacancies because they would rather have somebody in that apartment 102 00:06:05,960 --> 00:06:08,680 Speaker 2: for two thousand dollars a month than let it hit 103 00:06:08,760 --> 00:06:11,440 Speaker 2: empty for twenty four hundred dollars a month. And that's 104 00:06:11,440 --> 00:06:16,800 Speaker 2: how you bring rents down. So it's happening. We're starting 105 00:06:16,839 --> 00:06:22,560 Speaker 2: to see the positive impacts of immigration reform, and that's 106 00:06:22,600 --> 00:06:26,080 Speaker 2: what we're experiencing. And I think this is just the beginning. 107 00:06:26,240 --> 00:06:28,719 Speaker 2: I think that we're seeing a trend line that is 108 00:06:28,760 --> 00:06:31,640 Speaker 2: four months in a row and the lowest rents since 109 00:06:32,200 --> 00:06:34,960 Speaker 2: in five years. I think we're going to see a 110 00:06:35,000 --> 00:06:39,480 Speaker 2: significant increase in the quality of life and affordability in 111 00:06:39,720 --> 00:06:46,240 Speaker 2: areas that were well known to be overwhelmingly occupied by 112 00:06:46,279 --> 00:06:50,680 Speaker 2: illegal aliens. I mean, there's just nothing else left in 113 00:06:50,720 --> 00:06:51,520 Speaker 2: the equation now. 114 00:06:51,600 --> 00:06:54,719 Speaker 3: Vacancies hit a record high of seven point two percent 115 00:06:54,760 --> 00:06:58,440 Speaker 3: in October that was unchanged in November. This index dates 116 00:06:58,480 --> 00:07:00,080 Speaker 3: back to twenty seventeen. 117 00:07:00,240 --> 00:07:03,320 Speaker 2: So record vacancies in southern California. When do you ever 118 00:07:03,360 --> 00:07:06,440 Speaker 2: remember hearing that it was impossible to get an apartment? 119 00:07:07,000 --> 00:07:09,840 Speaker 2: It's constantly impart that that's why the rents are so high, 120 00:07:09,920 --> 00:07:11,960 Speaker 2: because you're gonna run around to find like they're going 121 00:07:12,040 --> 00:07:17,720 Speaker 2: up and up and up. So record vacancies pretty good. 122 00:07:17,880 --> 00:07:21,559 Speaker 3: It comes after a really historic Surgeon apartment construction brought 123 00:07:21,600 --> 00:07:23,280 Speaker 3: on big by the pandemic. 124 00:07:23,400 --> 00:07:26,320 Speaker 2: I don't remember that, uh, But the only people that 125 00:07:26,360 --> 00:07:28,880 Speaker 2: are not happy about this are the owners of the 126 00:07:28,920 --> 00:07:31,800 Speaker 2: apartment buildings, the real estate investment trust. They don't like 127 00:07:32,000 --> 00:07:34,720 Speaker 2: having to lower the rent. But look, every once in 128 00:07:34,760 --> 00:07:36,920 Speaker 2: a while, the renter gets to win one, and the 129 00:07:36,920 --> 00:07:37,840 Speaker 2: renter is winning one. 130 00:07:37,880 --> 00:07:41,960 Speaker 3: Apartment reads names like Avalon Bay, Equity Residential and Camden 131 00:07:42,040 --> 00:07:43,480 Speaker 3: Property Trusts are all. 132 00:07:43,280 --> 00:07:44,160 Speaker 4: Down yere to date. 133 00:07:44,480 --> 00:07:47,440 Speaker 3: On the bright side, monthly rental renewals are strong. 134 00:07:47,800 --> 00:07:50,280 Speaker 2: That's right because people like that new rent eight hundred. 135 00:07:50,320 --> 00:07:52,920 Speaker 2: So let's let's let's open up the telephone lines and 136 00:07:53,040 --> 00:07:54,840 Speaker 2: find out here eight hundred five to two oh one 137 00:07:54,960 --> 00:07:57,600 Speaker 2: KFI eight hundred five to two oh one, five three four, 138 00:07:57,840 --> 00:08:00,600 Speaker 2: And if you're listening live, you can call us using 139 00:08:00,680 --> 00:08:04,800 Speaker 2: the iHeartRadio app using the talkback MIC. Rents are going down? 140 00:08:05,360 --> 00:08:09,680 Speaker 2: Are you going to give Trump credit for eliminating the 141 00:08:09,720 --> 00:08:16,440 Speaker 2: supply of tenants? Lou Penrose on KFI AM six forty 142 00:08:16,440 --> 00:08:18,320 Speaker 2: live everywhere on the iHeartRadio app. 143 00:08:18,800 --> 00:08:22,680 Speaker 1: You're listening to KFI AM six forty on demand. 144 00:08:23,920 --> 00:08:27,520 Speaker 2: Blue Penrose with you whatt a Friday Night talking about 145 00:08:27,640 --> 00:08:33,559 Speaker 2: new CNBC numbers that show rents are coming down and 146 00:08:36,679 --> 00:08:41,200 Speaker 2: it's a really good thing. There are positive impacts to 147 00:08:41,440 --> 00:08:44,120 Speaker 2: this administration, and we're beginning to feel it right here 148 00:08:44,120 --> 00:08:52,199 Speaker 2: in Southern California. As people are being removed voluntarily or otherwise, 149 00:08:53,080 --> 00:08:58,240 Speaker 2: there are more vacancies. And there's no question that this 150 00:08:58,320 --> 00:09:01,000 Speaker 2: will increase the quality of life for people that live 151 00:09:01,040 --> 00:09:04,400 Speaker 2: in Los Angeles and greater southern California, no question at all. 152 00:09:04,960 --> 00:09:07,880 Speaker 2: So we will see the rents continue to fall as 153 00:09:08,040 --> 00:09:11,959 Speaker 2: more and more illegals get deported. The next thing that 154 00:09:12,000 --> 00:09:16,720 Speaker 2: will happen, and this is another good quality of life thing, 155 00:09:17,559 --> 00:09:22,080 Speaker 2: is you will see attendance in your public schools drop, 156 00:09:24,559 --> 00:09:29,840 Speaker 2: which means you'll finally have what the California Teachers Association 157 00:09:30,480 --> 00:09:34,800 Speaker 2: have been belly aching about forever, and that is smaller 158 00:09:34,880 --> 00:09:40,800 Speaker 2: class sizes. That's good for you. That means your daughter 159 00:09:40,960 --> 00:09:45,440 Speaker 2: gets more time with her third grade teacher to learn, Matt, 160 00:09:46,120 --> 00:09:51,719 Speaker 2: your son gets more time with the kindergarten teacher. Right. 161 00:09:51,760 --> 00:09:54,480 Speaker 2: This is a good thing. I saw in the Los 162 00:09:54,520 --> 00:10:00,000 Speaker 2: Angeles Times this headline that seven thousand students are miss 163 00:10:00,320 --> 00:10:03,520 Speaker 2: from the Los Angeles Unified School District because of all 164 00:10:03,600 --> 00:10:06,560 Speaker 2: the you know, all the fear about the ice raids, 165 00:10:06,559 --> 00:10:10,800 Speaker 2: and I thought missing. They're not missing. They've either gone 166 00:10:10,840 --> 00:10:13,640 Speaker 2: home or their parents are not taking them to school. 167 00:10:13,920 --> 00:10:17,640 Speaker 2: This is good. This is a good thing. This means 168 00:10:17,640 --> 00:10:22,600 Speaker 2: that teachers finally have manageable classrooms and they're not going 169 00:10:22,600 --> 00:10:24,560 Speaker 2: to keep them out of school forever. They've they've taken 170 00:10:24,600 --> 00:10:27,480 Speaker 2: them out of school and the plan is to go home. 171 00:10:27,760 --> 00:10:31,240 Speaker 2: I assume I don't think you have a bunch of 172 00:10:31,240 --> 00:10:38,240 Speaker 2: illegals homeschooling. So the the the ripple effects of these 173 00:10:38,679 --> 00:10:45,480 Speaker 2: of these policies are creating a huge boost to the 174 00:10:45,559 --> 00:10:47,640 Speaker 2: quality of life to so many of us here in 175 00:10:47,640 --> 00:10:51,040 Speaker 2: southern California. And uh, it's it's really just the beginning. 176 00:10:51,040 --> 00:10:52,319 Speaker 2: But the rents are a big one. 177 00:10:52,400 --> 00:10:55,359 Speaker 3: Yeah, Court, We've got an exclusive early read on November 178 00:10:55,440 --> 00:10:58,160 Speaker 3: rent data out tomorrow and it shows that continued new 179 00:10:58,240 --> 00:11:01,280 Speaker 3: supply and weaker demand are put wishing vacancies up and 180 00:11:01,280 --> 00:11:01,920 Speaker 3: rents down. 181 00:11:02,120 --> 00:11:05,160 Speaker 2: That's right. Weaker demand means the illegals have been deported. 182 00:11:05,280 --> 00:11:09,320 Speaker 2: That's what that's code word. That's CNBC codeword for weaker demand. 183 00:11:10,840 --> 00:11:14,160 Speaker 2: Because we're all still here, we haven't gone anywhere. All 184 00:11:14,160 --> 00:11:17,280 Speaker 2: we're doing is waiting for the rent increase. We're all 185 00:11:17,320 --> 00:11:20,559 Speaker 2: still in the apartment saying I don't know how I'm 186 00:11:20,559 --> 00:11:21,839 Speaker 2: ever going to be able to afford a house. I 187 00:11:21,840 --> 00:11:24,040 Speaker 2: don't understand how my parents did it. I don't know 188 00:11:24,080 --> 00:11:26,199 Speaker 2: what's going on. I guess I'm just going to be 189 00:11:26,200 --> 00:11:28,640 Speaker 2: a renter for my whole life. And the rent continues 190 00:11:28,679 --> 00:11:30,920 Speaker 2: to go up. I need to call city Hall and 191 00:11:30,960 --> 00:11:33,480 Speaker 2: tell them to do a rent freeze. I need to 192 00:11:33,600 --> 00:11:37,800 Speaker 2: join Tenants United, that maniac group, and you know, get 193 00:11:37,840 --> 00:11:41,680 Speaker 2: mad at the landlord right like we have been sitting 194 00:11:41,760 --> 00:11:47,080 Speaker 2: here yelling at the supply and demand curve, as if 195 00:11:47,120 --> 00:11:50,240 Speaker 2: the laws of supply and demand are listening to us 196 00:11:51,160 --> 00:11:54,840 Speaker 2: all the while, all the illegals I've been occupying our 197 00:11:54,880 --> 00:11:58,280 Speaker 2: housing stock. And in two hundred and nineteen days, President 198 00:11:58,320 --> 00:12:01,000 Speaker 2: Trump has been president for two hundred nineteen days. It's 199 00:12:01,000 --> 00:12:04,520 Speaker 2: only been two hundred and nineteen days. There are are 200 00:12:04,520 --> 00:12:08,480 Speaker 2: eleven hundred and forty one more days of this administration. 201 00:12:10,840 --> 00:12:14,240 Speaker 2: He has removed two million illegals, and most illegals were 202 00:12:14,240 --> 00:12:17,079 Speaker 2: in southern California, so a large percentage of that two 203 00:12:17,200 --> 00:12:22,640 Speaker 2: million number comes from southern California. And all of a sudden, 204 00:12:22,679 --> 00:12:26,600 Speaker 2: we see rents starting to decrease, and people are, you know, 205 00:12:26,880 --> 00:12:30,800 Speaker 2: examining it on CNBC, and I'm thinking it's pretty clear. 206 00:12:31,520 --> 00:12:36,280 Speaker 2: I know it's not politically correct to say, something really 207 00:12:36,440 --> 00:12:41,800 Speaker 2: good for California is happening because Trump is deporting all 208 00:12:41,840 --> 00:12:45,319 Speaker 2: the illegals. But I'm here to tell you something really 209 00:12:45,360 --> 00:12:49,160 Speaker 2: good for southern California is happening because Trump is deporting 210 00:12:49,200 --> 00:12:53,679 Speaker 2: all the illegals. And I don't know what the number is. 211 00:12:54,040 --> 00:12:57,640 Speaker 2: Nobody really does because it's impossible to count illegals since 212 00:12:57,679 --> 00:13:01,400 Speaker 2: they're illegal. But I don't know if two million is 213 00:13:01,400 --> 00:13:04,520 Speaker 2: a large percentage or a small percentage. I've heard that 214 00:13:04,600 --> 00:13:09,360 Speaker 2: there are ten million illegals in California, twelve million. Some 215 00:13:09,400 --> 00:13:11,480 Speaker 2: people say, now it's more like nineteen million. I don't 216 00:13:11,480 --> 00:13:13,920 Speaker 2: know what it is, but two million is a percentage 217 00:13:13,960 --> 00:13:16,120 Speaker 2: of whatever the total is, there's no question about it. 218 00:13:16,200 --> 00:13:18,160 Speaker 2: I don't know if it's a double digit percentage. I 219 00:13:18,160 --> 00:13:20,360 Speaker 2: don't know if we're just if it's just a drop 220 00:13:20,360 --> 00:13:23,040 Speaker 2: in a bucket. But if rents are beginning to cut down, 221 00:13:23,120 --> 00:13:25,880 Speaker 2: we're moving in the right direction. We're doing something right. 222 00:13:26,360 --> 00:13:29,000 Speaker 2: And like I said, we're only just a couple hundred 223 00:13:29,040 --> 00:13:31,400 Speaker 2: days into this administration. We have eleven hundred more days 224 00:13:31,400 --> 00:13:34,960 Speaker 2: to go, and they have doubled the budget of Immigration 225 00:13:35,080 --> 00:13:38,480 Speaker 2: and Customs enforcement that was in the One Big Beautiful 226 00:13:38,520 --> 00:13:43,640 Speaker 2: Bill so they're hiring. Now there's a learning curve. You 227 00:13:43,720 --> 00:13:47,520 Speaker 2: got to train these ice agents because everybody is every 228 00:13:47,640 --> 00:13:50,319 Speaker 2: Karen is out there with a cell phone camera making 229 00:13:50,360 --> 00:13:55,319 Speaker 2: an illegal alien raid movie. Who they're showing this footage 230 00:13:55,320 --> 00:13:58,120 Speaker 2: too is beyond me. I have no idea. Every time 231 00:13:58,240 --> 00:14:00,920 Speaker 2: I see this stuff on social media, there is some 232 00:14:01,720 --> 00:14:05,079 Speaker 2: maniac liberal white woman and she's holding a cell phone 233 00:14:05,120 --> 00:14:09,560 Speaker 2: camera while a Immigration and Customs enforcement agent is making 234 00:14:09,679 --> 00:14:14,000 Speaker 2: a lawful arrest and throwing the illegal in the back 235 00:14:14,040 --> 00:14:16,720 Speaker 2: of the ice van. And she's screaming about a warrant 236 00:14:16,760 --> 00:14:19,720 Speaker 2: and due process and she's filming the whole thing, and 237 00:14:19,760 --> 00:14:22,280 Speaker 2: she's screaming that she has a right to film, and 238 00:14:22,320 --> 00:14:24,640 Speaker 2: the ICE guy is like, yeah, ma'am, you have a 239 00:14:24,720 --> 00:14:27,840 Speaker 2: right to film. Just please step back, you know, because 240 00:14:28,320 --> 00:14:32,440 Speaker 2: we're wrestling with an illegal here, very dangerous. And I 241 00:14:32,480 --> 00:14:36,120 Speaker 2: always think to myself, who are you showing this video to? 242 00:14:36,520 --> 00:14:40,880 Speaker 2: Like where do you plan on showing this? Was there 243 00:14:40,920 --> 00:14:43,560 Speaker 2: some kind of an illegal alien film festival that I missed? 244 00:14:43,680 --> 00:14:46,360 Speaker 2: Is there a short film festival going on in Santa Monica? 245 00:14:46,520 --> 00:14:48,880 Speaker 2: And where all the Karens are gonna loop together this video? 246 00:14:49,080 --> 00:14:54,880 Speaker 2: Like who are you gonna show this movie to But anyway, 247 00:14:56,280 --> 00:14:58,840 Speaker 2: yeahs as all of that is going on, so these 248 00:14:58,920 --> 00:15:00,480 Speaker 2: all these ice agents have to be trained. There's a 249 00:15:00,520 --> 00:15:04,240 Speaker 2: learning curve for that because everybody's watching them. And so 250 00:15:04,280 --> 00:15:09,960 Speaker 2: they'll be double the amount of operation that we've seen 251 00:15:10,160 --> 00:15:15,640 Speaker 2: in just the last nine months, and we've already we 252 00:15:15,880 --> 00:15:20,040 Speaker 2: have two. We're two million to the good and rents 253 00:15:20,040 --> 00:15:23,360 Speaker 2: it down and vacancies are up, which will cause the 254 00:15:23,400 --> 00:15:27,000 Speaker 2: rents to go down even more. So it is having 255 00:15:27,040 --> 00:15:30,160 Speaker 2: an impact, there's no question about it. And as I said, 256 00:15:30,320 --> 00:15:34,840 Speaker 2: the next thing will be come September, you're gonna go 257 00:15:34,880 --> 00:15:37,560 Speaker 2: to school and you're gonna say, like, wow, this is 258 00:15:37,600 --> 00:15:41,720 Speaker 2: a much more manageable classroom. These classrooms are smaller. This 259 00:15:41,840 --> 00:15:45,040 Speaker 2: is great. My kid is getting more individual attention, the 260 00:15:45,120 --> 00:15:50,040 Speaker 2: teacher isn't overwhelmed. That'll be the next thing, and that 261 00:15:50,080 --> 00:15:52,560 Speaker 2: will be good. Then you'll start to see test scores 262 00:15:52,600 --> 00:15:55,800 Speaker 2: go up and your kids will be happier, and then 263 00:15:55,840 --> 00:15:59,160 Speaker 2: teachers will be happier, so they won't be bitching about, 264 00:15:59,520 --> 00:16:03,200 Speaker 2: you know how they're underpaid, underappreciated. So Sacramento will get 265 00:16:03,240 --> 00:16:06,560 Speaker 2: that pressure off them because teachers actually are happy to teach, 266 00:16:07,080 --> 00:16:09,960 Speaker 2: they just don't want to be teaching a thirty four 267 00:16:11,640 --> 00:16:16,680 Speaker 2: child classroom, a third of which are foreigners who don't 268 00:16:16,680 --> 00:16:20,040 Speaker 2: belong there. So these are all positive things. I'm very 269 00:16:20,120 --> 00:16:24,160 Speaker 2: very happy about it all, and you should be too. 270 00:16:24,320 --> 00:16:26,400 Speaker 2: So what will be the next right I told you, 271 00:16:26,400 --> 00:16:30,400 Speaker 2: we'll certainly get Rents will come down, You'll have more vacancies, 272 00:16:30,720 --> 00:16:34,800 Speaker 2: the classrooms will be much more manageable. I think we'll 273 00:16:34,840 --> 00:16:38,040 Speaker 2: start to feel a lot more elbow room in southern California. 274 00:16:38,280 --> 00:16:41,000 Speaker 2: And I think these are all just quality of life 275 00:16:41,000 --> 00:16:43,800 Speaker 2: issues that we can all look forward to. So we'll 276 00:16:43,800 --> 00:16:46,320 Speaker 2: get into all that when we come back. Also, we 277 00:16:46,400 --> 00:16:48,720 Speaker 2: got to get into this e bike story. The e 278 00:16:48,800 --> 00:16:52,800 Speaker 2: bike is the most popular gift under the tree this year. 279 00:16:54,240 --> 00:16:59,880 Speaker 2: The e bike is the cabbage Patch doll of twenty twenty. 280 00:17:01,120 --> 00:17:02,960 Speaker 2: So many people are gonna be getting e bikes. So 281 00:17:02,960 --> 00:17:05,880 Speaker 2: many teenagers are going to be getting e bikes, and 282 00:17:06,400 --> 00:17:09,479 Speaker 2: everyone's going nuts because everybody that drives hates e bikes 283 00:17:09,600 --> 00:17:12,399 Speaker 2: and all the city council members hate e bikes. But 284 00:17:13,200 --> 00:17:14,960 Speaker 2: on Christmas Morning, there's gonna be a lot of e 285 00:17:15,040 --> 00:17:19,240 Speaker 2: bikes unwrapped, which means come the first week of school 286 00:17:19,280 --> 00:17:21,800 Speaker 2: in January, there's gonna be tons more e bikes, So 287 00:17:21,840 --> 00:17:23,479 Speaker 2: we're gonna have to figure out how to wrestle with that. 288 00:17:23,680 --> 00:17:25,320 Speaker 2: We'll tell you all about that. That's all coming up 289 00:17:25,359 --> 00:17:28,320 Speaker 2: next to Lou Penrose on KFI AM six forty Live 290 00:17:28,359 --> 00:17:29,920 Speaker 2: Everywhere on the iHeartRadio app. 291 00:17:30,359 --> 00:17:33,760 Speaker 1: You're listening to KFI AM six forty on demand. 292 00:17:35,440 --> 00:17:38,520 Speaker 2: Blue Penrose with you on a Friday night, talking about 293 00:17:38,600 --> 00:17:42,440 Speaker 2: rents coming down for the first time in a long time. 294 00:17:42,720 --> 00:17:47,160 Speaker 2: Vacancy is up, and that's a good thing. I think 295 00:17:47,640 --> 00:17:51,840 Speaker 2: the pressure of the affordability of housing has been too 296 00:17:51,920 --> 00:17:53,840 Speaker 2: much for too long for those of us here in 297 00:17:53,880 --> 00:17:59,080 Speaker 2: southern California, and it wasn't always like that. So now 298 00:17:59,080 --> 00:18:00,720 Speaker 2: that rents are coming down and we can breathe a 299 00:18:00,760 --> 00:18:03,480 Speaker 2: little bit and have some money to look at and 300 00:18:03,520 --> 00:18:05,960 Speaker 2: we can make a you know, some different decisions and 301 00:18:06,000 --> 00:18:09,040 Speaker 2: maybe even save to one day not be a renter. Mario, 302 00:18:09,119 --> 00:18:13,280 Speaker 2: what what's your rent looking like? Are you seeing flattening 303 00:18:13,359 --> 00:18:15,280 Speaker 2: or you're seeing just NonStop rent increases? 304 00:18:15,359 --> 00:18:17,199 Speaker 4: You know, for a one bedroom apartment that I've been 305 00:18:17,280 --> 00:18:19,800 Speaker 4: living in for now eleven years, it's a it's at 306 00:18:19,880 --> 00:18:21,199 Speaker 4: roughly about thirteen hundred. 307 00:18:21,800 --> 00:18:24,600 Speaker 2: Yeah, that's about right, thirteen hundred, But hasn't been going 308 00:18:24,680 --> 00:18:26,280 Speaker 2: up every year, only. 309 00:18:26,119 --> 00:18:28,840 Speaker 4: About like sixty dollars, right, it's a little bit. I 310 00:18:28,880 --> 00:18:31,520 Speaker 4: think that's still pretty generous compared to everywhere else. 311 00:18:32,960 --> 00:18:34,800 Speaker 2: So what I'm so, let's say I'm trying to do 312 00:18:34,840 --> 00:18:39,000 Speaker 2: the math. Now, how about Nick is NII? Does NICKI 313 00:18:39,000 --> 00:18:41,240 Speaker 2: even live in an apartment for some reason? I feel 314 00:18:41,280 --> 00:18:43,000 Speaker 2: like you live on a cloud or something. 315 00:18:43,040 --> 00:18:45,640 Speaker 5: I live because I'm an angel. I don't know why, 316 00:18:45,840 --> 00:18:50,320 Speaker 5: just like I'm an anomaly, I have a mortgage. I 317 00:18:50,400 --> 00:18:55,200 Speaker 5: live by myself in a two bedroom, two bathroom apartment 318 00:18:55,359 --> 00:18:59,080 Speaker 5: condo on the West Side, with its own laundry. So 319 00:18:59,200 --> 00:19:00,960 Speaker 5: don't even bring me into this conversation. 320 00:19:01,119 --> 00:19:03,840 Speaker 2: I know you know why you're not an anomaly? 321 00:19:03,920 --> 00:19:04,399 Speaker 4: Do you do? 322 00:19:04,480 --> 00:19:10,440 Speaker 2: You know? The single largest category of clothes of real 323 00:19:10,520 --> 00:19:15,000 Speaker 2: estate closings in southern California are women. Women under the 324 00:19:15,040 --> 00:19:15,679 Speaker 2: age of forty. 325 00:19:15,880 --> 00:19:18,800 Speaker 5: I'm not a woman under the age of forty, though 326 00:19:19,440 --> 00:19:20,680 Speaker 5: I just sound like it. 327 00:19:21,200 --> 00:19:24,679 Speaker 2: No, but I mean that it doesn't have to be 328 00:19:24,760 --> 00:19:26,399 Speaker 2: under the age of forty. But that's the thing that's 329 00:19:26,440 --> 00:19:31,000 Speaker 2: the growing population and people that women are like women 330 00:19:31,240 --> 00:19:34,120 Speaker 2: are buying real estate is very very new. 331 00:19:34,280 --> 00:19:38,000 Speaker 5: I'm an immigrant, but I am a lawful permanent resident 332 00:19:38,080 --> 00:19:39,080 Speaker 5: Green card holder. 333 00:19:39,240 --> 00:19:45,520 Speaker 2: So look at you. I've been vetted. Well, I appreciate that, 334 00:19:45,560 --> 00:19:47,200 Speaker 2: all right. So all right, so you're not renting, You're 335 00:19:47,240 --> 00:19:51,880 Speaker 2: you're doing as you're a Yes, I'm sure for living 336 00:19:51,880 --> 00:19:54,840 Speaker 2: in the American dream, I'm trure. While Mario is sitting 337 00:19:54,880 --> 00:19:59,080 Speaker 2: thirteen years in a studio waiting for something to happen. 338 00:19:59,119 --> 00:20:01,879 Speaker 2: You know, it's a one bed room for me thirteen 339 00:20:01,920 --> 00:20:02,520 Speaker 2: hunt for a one bed. 340 00:20:02,720 --> 00:20:04,600 Speaker 5: That's an amazing price, by the way. 341 00:20:04,440 --> 00:20:06,320 Speaker 4: For that is a pretty good price. Exactly why I've 342 00:20:06,320 --> 00:20:08,879 Speaker 4: been there for eleven years. I'm not leaving with that price. 343 00:20:10,359 --> 00:20:13,000 Speaker 2: So when I moved to southern California, and so this 344 00:20:13,080 --> 00:20:15,960 Speaker 2: is nineteen ninety, so we were twenty twenty six, so god, 345 00:20:16,040 --> 00:20:19,000 Speaker 2: thirty twenty five years ago, thirty five years ago. Now, 346 00:20:20,280 --> 00:20:24,960 Speaker 2: two bedroom, two bath in an apartment complex with gated 347 00:20:25,040 --> 00:20:30,280 Speaker 2: parking right on Washington and Lincoln, like right there, just 348 00:20:30,280 --> 00:20:33,600 Speaker 2: just north of Marina del Rey, walking distance to Venice Beach, 349 00:20:34,160 --> 00:20:38,360 Speaker 2: just south of Santa Monica. Eight hundred dollars a month. Wow, 350 00:20:38,720 --> 00:20:41,920 Speaker 2: that was nineteen ninety and I didn't have a job. 351 00:20:42,000 --> 00:20:44,120 Speaker 2: I mean, I had some savings when I first came 352 00:20:44,359 --> 00:20:48,080 Speaker 2: when I first came, my roommate had already moved to 353 00:20:48,200 --> 00:20:52,880 Speaker 2: southern California. He was working painting sets for some studio lot. 354 00:20:53,440 --> 00:20:55,840 Speaker 2: And I got a job, you know, within a couple 355 00:20:55,880 --> 00:20:59,359 Speaker 2: of weeks and eight hundred dollars we spent. It was 356 00:20:59,359 --> 00:21:03,200 Speaker 2: four hundred dollars each, and I feel like we were 357 00:21:03,200 --> 00:21:06,280 Speaker 2: making not much more than minimum wage. And we had cars. 358 00:21:06,359 --> 00:21:07,320 Speaker 5: How many bedrooms? 359 00:21:07,440 --> 00:21:08,560 Speaker 2: Was it two bedroom? 360 00:21:08,880 --> 00:21:11,520 Speaker 5: And did you say Jefferson and Lincoln. 361 00:21:11,800 --> 00:21:14,440 Speaker 2: No, it was Lincoln at Lincoln in Washington. Yeah, that's 362 00:21:14,520 --> 00:21:17,399 Speaker 2: my neighborhood. Like right, there's a gas station right on 363 00:21:17,440 --> 00:21:20,560 Speaker 2: the corner, and then back a little bit on Washington 364 00:21:20,800 --> 00:21:23,280 Speaker 2: is a couple of you know, four or five story 365 00:21:23,320 --> 00:21:29,399 Speaker 2: apartment buildings. Neighborhood, beautiful neighborhood. And it was it was 366 00:21:29,440 --> 00:21:33,320 Speaker 2: totally manageable, and we had discretionary income. So we would 367 00:21:33,400 --> 00:21:36,040 Speaker 2: go out drinking and go to you know, go to 368 00:21:36,160 --> 00:21:39,040 Speaker 2: go to all the all all the doings, all all 369 00:21:39,040 --> 00:21:40,800 Speaker 2: in and around you know, Venice Beach. 370 00:21:40,840 --> 00:21:43,560 Speaker 5: Did you have any pets in that point? Do you 371 00:21:43,640 --> 00:21:45,200 Speaker 5: know what also sucks about. 372 00:21:45,160 --> 00:21:46,760 Speaker 2: And have a dog anything? 373 00:21:46,880 --> 00:21:49,600 Speaker 5: They all end up in kill shelters because you have 374 00:21:49,760 --> 00:21:52,880 Speaker 5: to pay additional rent for your cat, your dog, your hamster. 375 00:21:53,240 --> 00:21:55,800 Speaker 5: So people have to give up their beloved fur babies. 376 00:21:56,160 --> 00:21:58,959 Speaker 5: I understand the kill shelters, So that's another thing to 377 00:21:59,160 --> 00:21:59,760 Speaker 5: think about with. 378 00:22:00,680 --> 00:22:02,760 Speaker 2: Can't be a twenty two year old guy with a 379 00:22:02,800 --> 00:22:05,120 Speaker 2: dog in Los Angeles, It's just not possible. 380 00:22:05,200 --> 00:22:06,480 Speaker 5: How's he gonna get the girls? 381 00:22:06,520 --> 00:22:06,639 Speaker 2: Then? 382 00:22:06,680 --> 00:22:08,359 Speaker 5: If he doesn't go to the dog park with his 383 00:22:08,480 --> 00:22:09,520 Speaker 5: cute little bow. 384 00:22:09,359 --> 00:22:12,560 Speaker 2: Wow, that's not where the girls are. When the boys 385 00:22:12,600 --> 00:22:15,960 Speaker 2: call on a Friday afternoon and say we're headed to Vegas, 386 00:22:16,320 --> 00:22:17,680 Speaker 2: you're not going to say, oh, I gotta get a 387 00:22:17,720 --> 00:22:21,000 Speaker 2: dog sitter. You're gonna say I'm in. And that's the 388 00:22:21,000 --> 00:22:23,159 Speaker 2: way we live life. But yeah, I mean, I just 389 00:22:23,200 --> 00:22:26,399 Speaker 2: remember being very affordable. I never thought that that southern 390 00:22:26,400 --> 00:22:29,040 Speaker 2: California was unaffordable, and I don't think anyone else talked 391 00:22:29,040 --> 00:22:34,720 Speaker 2: about it being unaffordable. But something happened from basically two 392 00:22:34,760 --> 00:22:39,080 Speaker 2: thousand and five ish to twenty twenty five ish that 393 00:22:39,359 --> 00:22:43,520 Speaker 2: the rents just skyrocketed and houses just skyrocketed, so people 394 00:22:43,520 --> 00:22:46,480 Speaker 2: stayed in the apartments and everything just kind of froze up. 395 00:22:47,040 --> 00:22:50,240 Speaker 2: And now is the first time in literally twenty years 396 00:22:50,440 --> 00:22:53,160 Speaker 2: that we're starting to see some of those rents coming 397 00:22:53,200 --> 00:22:55,880 Speaker 2: down in some of the vacancies, which get people choices, 398 00:22:56,359 --> 00:22:58,160 Speaker 2: and things are starting to move around a little bit. 399 00:22:58,280 --> 00:23:02,560 Speaker 2: So I do think better opportunities are coming. I think better, 400 00:23:03,240 --> 00:23:06,480 Speaker 2: you know, better real estate conditions are coming to Southern California, 401 00:23:06,560 --> 00:23:09,240 Speaker 2: because it should be like that for everybody, like you 402 00:23:09,280 --> 00:23:12,800 Speaker 2: ought to be able to move. In my case, I 403 00:23:12,840 --> 00:23:15,320 Speaker 2: had graduated college, I was looking at going to law 404 00:23:15,359 --> 00:23:20,080 Speaker 2: school at Pepperdine and came out to Southern California and 405 00:23:20,600 --> 00:23:23,720 Speaker 2: I had a friend here, so he needed a roommate. 406 00:23:23,760 --> 00:23:26,119 Speaker 2: I needed a place to live, and boom, there we 407 00:23:26,119 --> 00:23:29,359 Speaker 2: were in the center of the world, paying four hundred 408 00:23:29,400 --> 00:23:33,280 Speaker 2: dollars each and making a little bit over minimum wage 409 00:23:33,440 --> 00:23:36,520 Speaker 2: and still having money to pay the light bill, the 410 00:23:36,800 --> 00:23:39,679 Speaker 2: you know, and gas in the car and frolic around 411 00:23:39,680 --> 00:23:43,760 Speaker 2: and do whatever we wanted. Like that, I never felt 412 00:23:43,840 --> 00:23:45,560 Speaker 2: a pinch like it was never a time where I 413 00:23:45,600 --> 00:23:47,960 Speaker 2: thought I don't have enough money for food or I 414 00:23:48,000 --> 00:23:51,000 Speaker 2: don't have enough money for gas. Yet today people are 415 00:23:51,400 --> 00:23:54,520 Speaker 2: making way more than what I was making in nineteen ninety, 416 00:23:55,080 --> 00:23:57,720 Speaker 2: and they are strapped at the end of the month 417 00:23:57,800 --> 00:24:02,040 Speaker 2: all the time, and everybody's feeling anxiet and having all 418 00:24:02,119 --> 00:24:05,399 Speaker 2: kinds of concern, and I don't want you to have concern. 419 00:24:05,480 --> 00:24:08,760 Speaker 2: I want you to be free to go drive around 420 00:24:09,560 --> 00:24:11,720 Speaker 2: and go talk to the weirdos. I'm Venice Beach like 421 00:24:11,760 --> 00:24:15,760 Speaker 2: I did. That's what Southern California living is all about. 422 00:24:15,800 --> 00:24:17,440 Speaker 2: So as the rents come down, I do think we'll 423 00:24:17,440 --> 00:24:19,360 Speaker 2: see some of the pressures come off, and I think 424 00:24:19,400 --> 00:24:22,359 Speaker 2: that's a good thing, and we'll go forward, all right. 425 00:24:22,359 --> 00:24:25,560 Speaker 2: When we come back, we cannot not do this story, 426 00:24:25,800 --> 00:24:28,760 Speaker 2: so I'm going to throw it at you. The engagement 427 00:24:28,880 --> 00:24:33,120 Speaker 2: has been set. Travis Kelsey and Taylor Swift have announced 428 00:24:33,160 --> 00:24:36,880 Speaker 2: the day of their wedding. It's happening next year, and 429 00:24:36,920 --> 00:24:40,480 Speaker 2: that's very exciting if you're interested in that wedding. This 430 00:24:40,520 --> 00:24:43,119 Speaker 2: will be the royal wedding for the Americans. There's no 431 00:24:43,200 --> 00:24:46,320 Speaker 2: question between the Swifties and the Kansas City Chiefs fans. 432 00:24:46,400 --> 00:24:48,080 Speaker 2: I don't know what's going to happen to the Chiefs, 433 00:24:48,320 --> 00:24:50,280 Speaker 2: but this is going to be a big wedding. I'm 434 00:24:50,280 --> 00:24:53,919 Speaker 2: sure everyone's gonna watch it. But what's most interesting is 435 00:24:53,960 --> 00:24:58,320 Speaker 2: the date she chose. And you Swifties already know what 436 00:24:58,440 --> 00:25:01,119 Speaker 2: date it is without it even looking at the story. 437 00:25:02,400 --> 00:25:06,760 Speaker 2: But this number seems to work for Taylor Swift and 438 00:25:06,800 --> 00:25:10,000 Speaker 2: I don't know if it's numerology or she just really 439 00:25:10,080 --> 00:25:13,280 Speaker 2: found herself a real lucky number or something, but the 440 00:25:13,320 --> 00:25:18,000 Speaker 2: backstory on why she chose this wedding day is fascinating 441 00:25:18,040 --> 00:25:20,119 Speaker 2: to me. We'll tell you all about it. Coming up next, 442 00:25:20,280 --> 00:25:23,919 Speaker 2: Lou Penrose on KFI AM six forty Live Everywhere on 443 00:25:23,960 --> 00:25:25,119 Speaker 2: the iHeartRadio app. 444 00:25:25,800 --> 00:25:29,240 Speaker 1: You're listening to KFI AM six forty on demand. 445 00:25:33,800 --> 00:25:36,320 Speaker 2: Lou Penrose with you on a Friday night. Good to 446 00:25:36,359 --> 00:25:39,200 Speaker 2: have you along with us. Coming up following the News 447 00:25:39,280 --> 00:25:42,080 Speaker 2: at nine, The e bike is going to be the 448 00:25:42,080 --> 00:25:45,919 Speaker 2: most popular gift under the Christmas tree this Christmas season. 449 00:25:46,520 --> 00:25:49,800 Speaker 2: The e bike is the cabbage Patch doll of twenty 450 00:25:49,880 --> 00:25:55,040 Speaker 2: twenty five. They're being sold like hotcakes and they're not inexpensive, 451 00:25:55,720 --> 00:25:59,919 Speaker 2: but everybody's getting them. And the e bikes are controversial because, 452 00:26:00,560 --> 00:26:04,399 Speaker 2: unlike the cabbage Patch dolls, everybody that drives a car 453 00:26:04,720 --> 00:26:07,080 Speaker 2: hates these e bikes and now a lot of city 454 00:26:07,080 --> 00:26:09,840 Speaker 2: councils hate these e bikes, but the kids love them 455 00:26:10,560 --> 00:26:13,720 Speaker 2: and the kids are winning. And as soon as it's 456 00:26:13,720 --> 00:26:16,240 Speaker 2: back to school in January, there's going to be more 457 00:26:16,280 --> 00:26:18,520 Speaker 2: e bikes on the road. So we'll go through the 458 00:26:18,520 --> 00:26:21,640 Speaker 2: whole story right now, talking about CNBC report showing that 459 00:26:22,119 --> 00:26:27,560 Speaker 2: for the fourth consecutive month, rents are falling, and that's 460 00:26:27,600 --> 00:26:31,800 Speaker 2: good for you, and it's a really, really, really good 461 00:26:31,840 --> 00:26:33,320 Speaker 2: thing for affordability. 462 00:26:34,520 --> 00:26:39,159 Speaker 4: What's okay if I well this Kuy's are more total moron. 463 00:26:39,240 --> 00:26:43,160 Speaker 6: It's because the Libs have taken over Sacramento and they're 464 00:26:43,200 --> 00:26:46,359 Speaker 6: giving all your money out to everybody out that can't 465 00:26:46,359 --> 00:26:50,480 Speaker 6: afford to live here. So they're getting they're getting the kickbacks, 466 00:26:50,640 --> 00:26:53,320 Speaker 6: and the working man is breaking his back. That's what 467 00:26:53,440 --> 00:26:54,920 Speaker 6: happened the Libs took over. 468 00:26:55,119 --> 00:26:58,080 Speaker 2: I appreciate the call. I think the Liberals in California 469 00:26:58,119 --> 00:27:00,879 Speaker 2: have been pretty consistent. I don't think California has become 470 00:27:01,000 --> 00:27:05,320 Speaker 2: more liberal than it's been in the last twenty years. 471 00:27:05,600 --> 00:27:11,760 Speaker 2: I think I know what's happened, and I'm not sure 472 00:27:11,760 --> 00:27:14,199 Speaker 2: how to solve it, so I hesitate to throw it 473 00:27:14,200 --> 00:27:18,600 Speaker 2: out there, but I will. So here's the reality of 474 00:27:18,640 --> 00:27:23,760 Speaker 2: southern California. In nineteen eighty, the average salary in southern 475 00:27:23,800 --> 00:27:26,520 Speaker 2: California was twenty thousand dollars a year. Can you believe 476 00:27:26,560 --> 00:27:30,560 Speaker 2: that twenty thousand dollars a year. The average cost of 477 00:27:30,600 --> 00:27:36,320 Speaker 2: a starter home was sixty thousand dollars, three times as much. 478 00:27:36,680 --> 00:27:41,320 Speaker 2: Now that's hard to do. You've been making twenty thousand 479 00:27:41,359 --> 00:27:44,000 Speaker 2: dollars a year. It's hard to say for a sixty 480 00:27:44,080 --> 00:27:48,560 Speaker 2: thousand dollars home. But it could be done. Well, it 481 00:27:48,640 --> 00:27:53,439 Speaker 2: was done. Our parents did it. And what happened was 482 00:27:53,520 --> 00:27:56,639 Speaker 2: people saved. They were and the phrase was, I'm saving 483 00:27:56,640 --> 00:27:58,560 Speaker 2: for a home. Oh are you guys going on vacation? 484 00:27:58,600 --> 00:28:00,400 Speaker 2: We're you going on vacation this year? We're not. We're 485 00:28:00,520 --> 00:28:02,960 Speaker 2: saving for a home. Oh, you guys are gonna be 486 00:28:03,000 --> 00:28:06,480 Speaker 2: You know you have any plans for now? We're saving 487 00:28:06,520 --> 00:28:09,640 Speaker 2: for a home. When are you gonna buy a new car? Well, 488 00:28:09,680 --> 00:28:12,800 Speaker 2: we're saving for a home. People saved for a home 489 00:28:13,359 --> 00:28:18,080 Speaker 2: like four years, for like sometimes three years now a 490 00:28:18,119 --> 00:28:20,720 Speaker 2: down payment on sixty thousand dollars on a sixty thousand 491 00:28:20,760 --> 00:28:24,359 Speaker 2: dollar home, you could pull that off. Saving for a 492 00:28:24,440 --> 00:28:30,040 Speaker 2: home on a twenty thousand dollars a year salary, it's doable, right, 493 00:28:30,040 --> 00:28:32,239 Speaker 2: what do you need? I mean five percent? And you 494 00:28:32,240 --> 00:28:35,160 Speaker 2: know you put the money away every month in the envelope, 495 00:28:35,200 --> 00:28:36,960 Speaker 2: and then after three years you got the money for 496 00:28:37,000 --> 00:28:39,880 Speaker 2: the down payment and you're still working. You got the job, 497 00:28:39,920 --> 00:28:42,520 Speaker 2: you qualify for the mortgage, and boom, there you are. 498 00:28:42,560 --> 00:28:45,080 Speaker 2: You're in the home. And that's who lived in all 499 00:28:45,120 --> 00:28:48,360 Speaker 2: the homes that we see in southern California, all these 500 00:28:48,400 --> 00:28:51,120 Speaker 2: little homes right in Burbank and all these little homes 501 00:28:51,840 --> 00:28:55,560 Speaker 2: throughout the Southland, not just in Los Angeles, but out 502 00:28:55,600 --> 00:28:58,280 Speaker 2: and you know, in the Inland Empire and down through 503 00:28:58,280 --> 00:29:02,400 Speaker 2: Orange County and North Orange County, Anaheim. People saved for 504 00:29:02,560 --> 00:29:04,440 Speaker 2: a home and they bought a home, and those homes 505 00:29:04,480 --> 00:29:08,600 Speaker 2: were sixty seventy thousand dollars and they lived in them 506 00:29:09,040 --> 00:29:13,440 Speaker 2: and raised families in them. Okay, that's nineteen eighty. Fast 507 00:29:13,480 --> 00:29:19,480 Speaker 2: forward forty years. Here we are average average salary in 508 00:29:19,520 --> 00:29:25,680 Speaker 2: southern California sixty thousand dollars, average cost of a starter 509 00:29:25,800 --> 00:29:33,880 Speaker 2: home eight hundred and sixty nine thousand dollars. There is 510 00:29:34,000 --> 00:29:36,880 Speaker 2: no way you were saving a and now they want 511 00:29:36,920 --> 00:29:40,440 Speaker 2: twenty percent down and mortgage insurance. It is no way 512 00:29:41,440 --> 00:29:45,800 Speaker 2: you're saving a down payment on a sixty thousand dollars year. Actually, 513 00:29:46,160 --> 00:29:49,080 Speaker 2: you and your wife could each make sixty thousand dollars 514 00:29:49,120 --> 00:29:51,640 Speaker 2: a year, one hundred and twenty thousand dollars a year 515 00:29:51,760 --> 00:29:54,840 Speaker 2: household income. There is no way you are buying an 516 00:29:54,880 --> 00:29:57,560 Speaker 2: eight hundred thousand dollar home or a nine hundred thousand 517 00:29:57,600 --> 00:30:02,360 Speaker 2: dollar home, and that like, you know, quote unquote million 518 00:30:02,440 --> 00:30:05,800 Speaker 2: dollar home. It looks exactly the same as the sixty 519 00:30:05,880 --> 00:30:09,240 Speaker 2: thousand dollar home that your parents brought. I just saw it. 520 00:30:09,280 --> 00:30:11,640 Speaker 2: I was just visiting. I was at a house warming 521 00:30:11,720 --> 00:30:16,160 Speaker 2: party in Burbank. Beautiful little cottage, very close to the 522 00:30:16,160 --> 00:30:22,000 Speaker 2: Warner Brothers studios and one two two bedroom, two bedroom, 523 00:30:22,080 --> 00:30:28,960 Speaker 2: too bad, nice backyard. Million bucks. So what has happened 524 00:30:29,240 --> 00:30:35,640 Speaker 2: is our wages have not grown at the level at 525 00:30:35,640 --> 00:30:41,360 Speaker 2: the same rate as our needs. Like we have to live. 526 00:30:41,480 --> 00:30:45,080 Speaker 2: You have to have shelter, and you have to drive, 527 00:30:45,440 --> 00:30:49,600 Speaker 2: got to have a car, and you gotta have food. 528 00:30:49,600 --> 00:30:53,560 Speaker 2: It's pretty much it and a cell phone. And we 529 00:30:53,720 --> 00:30:55,880 Speaker 2: you know, we did, we got we got a triple 530 00:30:55,920 --> 00:30:59,080 Speaker 2: of our wages average wage twenty thousand hours. Now average wage, 531 00:30:59,240 --> 00:31:01,760 Speaker 2: well that we've twenty twenty so would say it's seventy 532 00:31:01,760 --> 00:31:05,440 Speaker 2: two thousand dollars in southern California. But everything else has 533 00:31:05,480 --> 00:31:09,760 Speaker 2: grown way way more. And that's the reality. I don't 534 00:31:09,760 --> 00:31:11,520 Speaker 2: know how to fix that. I think people need to 535 00:31:11,520 --> 00:31:14,000 Speaker 2: earn more, like people need to be paid more money. 536 00:31:14,000 --> 00:31:16,520 Speaker 2: I think we're worth a lot more than we're being paid. 537 00:31:16,880 --> 00:31:19,960 Speaker 2: I think we are more productive than we've ever been. 538 00:31:20,920 --> 00:31:24,040 Speaker 2: That you can be reached by your boss on your 539 00:31:24,080 --> 00:31:26,480 Speaker 2: cell phone at all times. You can put all kinds 540 00:31:26,520 --> 00:31:29,800 Speaker 2: of rules in the employee handbook that you want. The 541 00:31:29,880 --> 00:31:32,360 Speaker 2: reality is you're picking up the phone if the boss 542 00:31:32,400 --> 00:31:35,360 Speaker 2: calls because you don't want to be the difficult employee, 543 00:31:35,400 --> 00:31:37,720 Speaker 2: not if you want growth in the firm or growth 544 00:31:37,760 --> 00:31:41,640 Speaker 2: in the company. So your brain is in the job 545 00:31:41,840 --> 00:31:47,320 Speaker 2: all the time. That's good for the productivity of you 546 00:31:47,640 --> 00:31:51,960 Speaker 2: and your work. Like your work benefits from your brain 547 00:31:52,400 --> 00:31:57,520 Speaker 2: partially thinking about work almost all the time, right, so 548 00:31:57,640 --> 00:32:01,320 Speaker 2: you're more productive. You don't check out or clock out 549 00:32:01,320 --> 00:32:04,000 Speaker 2: at five o'clock on Friday and then clocking on Monday 550 00:32:04,080 --> 00:32:07,120 Speaker 2: and start a front. Like your brain is constantly processing 551 00:32:07,840 --> 00:32:10,960 Speaker 2: depending on what you do for a living, and you're 552 00:32:11,000 --> 00:32:16,120 Speaker 2: not really getting compensated for that extra time. And because 553 00:32:16,200 --> 00:32:20,560 Speaker 2: of the tools that we have, because of Excel, spreadsheets 554 00:32:20,680 --> 00:32:23,840 Speaker 2: and email, you can do a lot more. You don't 555 00:32:23,840 --> 00:32:27,120 Speaker 2: think you can. But let me tell you. I have 556 00:32:27,320 --> 00:32:33,480 Speaker 2: worked in federal agencies and I've seen the index card 557 00:32:34,120 --> 00:32:41,000 Speaker 2: to email arc. Literally when you're looking for information and 558 00:32:41,040 --> 00:32:44,440 Speaker 2: you're going through files in file cabinets to where all 559 00:32:44,480 --> 00:32:48,400 Speaker 2: of that's digitized, and you literally hit a keyword in 560 00:32:48,440 --> 00:32:50,959 Speaker 2: a search bar and all the files that would have 561 00:32:51,000 --> 00:32:54,160 Speaker 2: taken hour. That's if the files were kept on property. 562 00:32:54,360 --> 00:32:56,360 Speaker 2: You have to go off property to some storage, you 563 00:32:56,560 --> 00:32:58,800 Speaker 2: have to go find files like that's the way it 564 00:32:58,880 --> 00:33:03,560 Speaker 2: used to happen. Now your productivity is way way better, 565 00:33:03,840 --> 00:33:07,960 Speaker 2: far more accelerated, and you're getting paid more, but not 566 00:33:08,240 --> 00:33:12,880 Speaker 2: nearly as much more as you're worth. That's the way 567 00:33:12,880 --> 00:33:15,880 Speaker 2: I see it. And I don't know how to get that, 568 00:33:17,120 --> 00:33:20,400 Speaker 2: how to fix that all really quickly, but I think 569 00:33:20,440 --> 00:33:22,440 Speaker 2: our salaries need to do. All of our salaries need 570 00:33:22,440 --> 00:33:24,600 Speaker 2: to just go up, and then we'll be able to 571 00:33:24,600 --> 00:33:27,800 Speaker 2: finally afford that starter home for eight hundred and sixty 572 00:33:27,880 --> 00:33:31,920 Speaker 2: nine thousand dollars. Lou Penrose on KFI AM six forty 573 00:33:31,920 --> 00:33:33,760 Speaker 2: live everywhere, on the iHeartRadio app 574 00:33:34,280 --> 00:33:36,840 Speaker 1: KFI AM six forty on demand