California's long recession was a windfall for states like Nevada, Oregon, and Utah as migrating Californians fueled job growth and home construction. But that good fortune could be turning into a liability.

With fewer Californians trekking out, economists worry there could be a glut of homes in cities such as Las Vegas, Salt Lake City, and Portland, Ore., unless building ratchets down rapidly. Such an oversupply could eat into prices and make construction and mortgage lending riskier.

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