Many factors influencing California’s real estate market are particularly Californian in nature, and can be traced back to the general scarcity of land in desirable locations. Undeveloped land costs are exceptionally high, especially within the Los Angeles and San Francisco metropolitan areas. Kenny Slaught says there are regular delays in construction of new projects, which forces many homeowners to stay put and renovate, because Proposition 13, the 1978 amendment to the state’s constitution, has made relocating a daunting choice. Even though the law state that future property tax increases are capped at 2% based on 1975 assessments, a major exception takes place when a sale is executed, and a home is reassessed based on its current sale price. Annual totals are framed by purchase figures which vary monthly, because demand in California shifts seasonally (with most homes moved in June with a minor increase at year’s end). Also affecting yearly totals are asking prices, interest rates, consumer confidence, negative equity status, quantity and quality of homebuyer jobs, saving rates, and elements like major foreign investments and disposable income.