SF bay area still has really high prices and the long timers are doing just fine.
The guys that entered this business in the last couple of years are a disappearing fast. However, it was no different between the 50s and 80s when I was contracting or mid 80s 90s and when I was inspecting. It takes time to get established, get a rep (trust) and one has to always stay on top of his/her game. Southern CA inspectors are not as reasonably content as my friends around here, but I think the market down south is far more depressed and there's a lot more of them then us.

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Jerry McCarthy
Construction Consultant
www.expertbuildingconsultants.com