San Francisco Real Estate market??

[Danny83]

Check out these insane prices what do you guys think bubble?? http://blog.sfgate.com/ontheblock/20.../#photo-670348

[wantonebad]

There might be some price-inflation in the SF/Bay area real estate market, but is silicon valley going away? NYC has the some of the highest priced real estate in the country/world but is high finance going away?

when/if the market correction comes, and the dust settles we'll have a better idea about the economy. These cities (LA included) are always going to be desirable so personally i think the bubble-effect is some what mitigated in these prime markets. Now if the bottom falls out of the economy all bets are off.

[azguy]

when a programmer at Google makes $500k (and they have 2,000 of them), prices will be high

It's one reason places like Scottsdale are starting to have a serious tech presence, you have major schools like ASU and U of A with tons of grads, no winters and you can spend $500K and have a McMansion with 3,000 sqft, 4 bedrooms, 3 baths, 3 car garage and pool, spa and outdoor kitchen.

[Laszlo]

Originally Posted by azguy

when a programmer at Google makes $500k (and they have 2,000 of them), prices will be high

It's one reason places like Scottsdale are starting to have a serious tech presence, you have major schools like ASU and U of A with tons of grads, no winters and you can spend $500K and have a McMansion with 3,000 sqft, 4 bedrooms, 3 baths, 3 car garage and pool, spa and outdoor kitchen.

I just read yesterday that the median single family home price in San Francisco just went up to $1,350,000. The charts IMO say official bubble.

[sea-dweller]

I'd say that the RE market is priced right where it's at, because of the high income jobs and multiple households making some serious $$$ (dual income households at $350K plus, as an example).

It's priced right at the moment, but could go down when the economy tumbles.

[Phelony Jones]

There's a guy in Oakland with a warehouse where he will rent you a shipping container, rehabbed into an apartment, for a 1000 per month.

[codecow]

It's a bubble but since I live here and I bought in near the first tech crash I am enjoying it. I have been thinking about selling and moving someplace cheap. You can still work for companies that are in SV remotely if you're highly skilled.

[fusionstorm]

IMO, it's more like a ballon this time around than a bubble. It won't "pop" like in 2008-2009, simply b/c there's still so many people with $100K+ salary jobs working for companies that are highly profitable. For everyone pointing to the Web 3.0 companies trying to produce the next big app or SaaS product, there's also huge numbers of people working for highly profitable companies like Google, Apple, Oracle, Facebook, etc. that aren't going to be hitting the unemployment lines when the next economic downturn hits.

Will markets further from the San Francisco/Peninsula/Silicon Valley core see housing values drop when demand slows? Of course. But communities either near restos/culture/nightlife (San Francisco, and to a lesser extent Oakland and Berkeley) and/or close to the high paying, successful companies (most of the Bay Area that touches or is a city over from the waters of San Francisco Bay) aren't going to see dramatic drops in value IMO.

Full disclosure - I say this as someone who bought a duplex here in Feb 2014, then sold it in May of this year for 30% higher than my original purchase price.

[KonceptCars]

There's so many jobs here...rents are high and home prices are high.

[MilgaussMan1]

bubble. mobile homes there are around 200-300k

[Relyt]

Those prices are insane. My parents house on 4.5 acres cost 500k. Man, it is crazy from one side of the country to the other.

[subtona]

Originally Posted by Relyt

Those prices are insane. My parents house on 4.5 acres cost 500k. Man, it is crazy from one side of the country to the other.

nice castle

[Relyt]

Originally Posted by subtona

nice castle

Ha ha ha.... My Father is an architect and LOVES castles. He wanted his own "turret." You should see the tree house and "bridge" he built. I'm sure in California it would go for at least 100k lol jk.

We're also German so he used a lot of German influence.

Well that, and he is prepared for the Zombie apocalypse.... ha ha ha ha ha.

Can't show the secret rooms with the arsenals though.