Rents dropping all over the Bay Area (San Jose, San Francisco: sale, real estate)

[bentobox34]

Does this reflect reality on the ground?
Tenants get rent relief in San Jose, Oakland, San Francisco

[Perma Bear]

Originally Posted by bentobox34

Does this reflect reality on the ground?
Tenants get rent relief in San Jose, Oakland, San Francisco

Housing prices aren't so no.

[kgbnsf]

I just quickly scanned prices in Alameda and I'm not noticing much of a decline. Based on comps, I would probably still list my 2 bedroom apartment for $2900.00 - $3100.00 (it has a large detached office). That figure is down by about $300.00 since the election where severe rent control was defeated. Had the rent control passed, I was going to start higher given that I wouldn't have the ability to raise it later. If i get the sense that rent control is defeated for good and won't crop up later, I'd even bring it down another 200.00

[Chuck5000]

Yes, I have just signed a new lease, and I can tell you that peninsula rentals are definitely a little softer than last year, but just slightly. And this is the hottest sub-region after SF proper, and maybe prime Oakland, due to the presence of so many jobs here.

That said, a nice SFH will disappear in a day if the pricing is right. Go on Craigslist and you will see houses that keep reappearing because the price is too high - there is always something significantly wrong with those properties.

I would guess that this slight softness extends throughout the region.

In real estate, prices are always very sticky on the way down. People refuse to believe that the new lower prices apply to THEIR property.

Anyone expecting big time major drops in rental or sale prices and for the area to become affordable again to non-high-paid workers is in for a disappointment, though.

[TheGoodUsernamesWereTaken]

Originally Posted by bentobox34

Does this reflect reality on the ground?
Tenants get rent relief in San Jose, Oakland, San Francisco

Lies. Filthy, dirty lies.

It's still awfully expensive here, talk to me when I can get an apartment in the best areas of the city for no more than 2k.

[NextStage]

Originally Posted by TheGoodUsernamesWereTaken

Lies. Filthy, dirty lies.

It's still awfully expensive here, talk to me when I can get an apartment in the best areas of the city for no more than 2k.

That will happen about the same time that your employer announces that they're cutting salaries by 20% because their business is down.

Everything is a trade off.

[TheGoodUsernamesWereTaken]

Originally Posted by NextStage

That will happen about the same time that your employer announces that they're cutting salaries by 20% because their business is down.

Everything is a trade off.

But we know the "higher" salaries here aren't high enough to make up for the COL, so let's not pretend like this is the case.

I know there is a correlation but here the gap is too narrow.

[alliance]

Originally Posted by NextStage

That will happen about the same time that your employer announces that they're cutting salaries by 20% because their business is down.

Everything is a trade off.

More likely job numbers will be cut, or they're replaced by new lower-paid people with more responsibilities. At best your work load will expand while a few of your buddies are laid off in order to consolidate positions to make up for a decrease in business income. Either way, decreases in demand while supply remains the same (or increases due to job cuts) will help push rents down. So in this scenario, as long as you're the ones keeping their jobs you benefit.

Expecting people in the Bay Area to take a pay cut isn't feasible. Folks here think too highly of themselves.

[kgbnsf]

Originally Posted by alliance

Expecting people in the Bay Area to take a pay cut isn't feasible. Folks here think too highly of themselves.

Is there anywhere in the U.S. where this wouldn't be the case?

[HockeyMac18]

Originally Posted by kgbnsf

Is there anywhere in the U.S. where this wouldn't be the case?

Get with the program - the Bay Area is full of delicate snowflakes that can't take criticism and think they're the best at everything Or something...something (I'm sure the predictable City-Data trolls can chime in with clarification).

As if someone in some other part of the country would be jumping up and down at the concept of a salary decrease. Again

Sure - if it's what they'd have to do to keep a job, then they might do it. Just as people here would do the same. We're not all that different - especially since so many people here are from somewhere else anyway.

The job market is still healthy here for most people - so this is a non-relevant discussion point.