Why are these areas cheap? (San Francisco, Oakland: best city, apartments, rental)

[tyronen]

I am moving to a new job in Mountain View, and have been looking at rents to get a feel for what's cheap and what isn't. And several areas stand out:

- Hayward. Long commute, but struck by the very low rents - 2-bdrm for $950! Is this a high-crime area?

- Valley Fair / Santana Row - this again is like a low-rent oasis. $1200 for 2-bdrm not uncommon. Why? I'm pretty sure it's not a high-crime area, and it's very close to shopping.

[gizmo980]

Originally Posted by tyronen

I am moving to a new job in Mountain View, and have been looking at rents to get a feel for what's cheap and what isn't. And several areas stand out:

- Hayward. Long commute, but struck by the very low rents - 2-bdrm for $950! Is this a high-crime area?

Yeah, it has a fairly high crime rate... it's also just kind of a dumpy town, from what I've seen during my frequent (once a week) visits. And for some reason, it seems to have the worst drivers in the Bay Area - I can't tell you how many near-accidents I've had in Hayward! Anyway, it's just not considered a "desireable" town, and would also be a pretty lousy commute.

- Valley Fair / Santana Row - this again is like a low-rent oasis. $1200 for 2-bdrm not uncommon. Why? I'm pretty sure it's not a high-crime area, and it's very close to shopping.

That actually surprises me, since Santana Row in particular is extremely coveted right now. I can see the apartments on Stevens Creek Blvd being cheap, partly because there are just so many of them... it's also pretty bad traffic, and a little noisy/busy for my taste. But if you can find something cheap actually on Santana Row, SNAG IT!!!

[GeorgiePorgie]

Most rental owners in the Bay Area, have purchased their properties long ago, most likely before 1997when 3 bedroom homes were still available at or around 150.0000 Dollars. Unlike the rest of the country, California property owners still enjoy Prop 13 Benefits, as of 2004, the state of California was still collecting over 85 Billion Dollars in property tax.

Landlords do not and can not depend on rental income in the Bay Area as a decent return on an investment, instead, it's the appreciation rate of properties in the Bay Area where profits have always been expected.
Believe it or not most rental income does not even come close to even paying the mortgage on these rental, rental income is just a subsidy.

After 1997, property prices started climbing, the average home during the boom years was gaining 10.000 Dollars a month for few years. A domino affect was created, and almost every vacant lot available was turned into an apartment building in the East Bay, I believe the area was overbuilt, the beauty of few vacant lots was turned into an ugly sight of clustered apartments, newly established landlords started competing for tenants by offering many move-in's incentives, trying to keep up with the newly created phrase ( if you can stomach the mortgage )

Meanwhile, old time ladlords rarely raised the rent, currently ( Apr 2007 ) I personally know of more than few examples, where a 3 bedroom house in some of the best areas of San Leandro, is still under 850.0 Dollars a month.
I have also seen a big size 2 bedrooms apartment in Hayward, where the tenant had his rent reduced from 750 to 650 a month, I am sure anyone would have been shocked, but I was not, I understand how it works, I am a landlord.

But here is the best part that most people don't realize about Hayward.
For tenants, it's really about the most practical city to live in in this country, maybe in the whole world, three main reasons make it a such.

Reason one: Geographical location
20 minutes to Alameda beach
45 minutes to Pacific Ocean, Half moon bay is a wordly known place for surfers.
35 minutes to SFO
12 minutes to OAK (Oakland International )
15 minutes or so to San Ramon, Ca ( Look up where highest income people live )
45 minutes to Silicon Valley
40 minutes to Downtown San Francisco, or Simply take the BART
12 minutes to Stoneridge mall in Pleasnton "for those with wives to use credit cards "
5 minutes or so from Lake Chabot in Castro Valley
A drive to Yosemite National Park, Lake Tahoe or the redwoods of northern California is only few hours away

Reason two: Services and industries offered in Hayward

Cal State state university sits atop the hill in Hayward ( some international students )
Chabot College
West Life Chiropractic College ( excuse my spelling )
few other Private Colleges
Superior Court house for Alameda county ( No, we don't have judge Judy ! )
Hayward Airport is a training base for many international students
Home depot, Sears, Orchard,etc and other Mall based stores are within few miles from any Hayward resident.
Many car dealerships
St Rose hospital, Kaiser Permanente, Eden Community hospital ( Castro Valley ) are within few miles.
Many auto parts stores, and plenty of Junkyards at the industrial section of hayward
Many hitech businesses , distribution centers, moving and logistic companies

The list can go on and on

Reason three : Weather
It's rarely too hot in the summer or too cold in the winter, so many events are held inthe outdoors.

[disp782]

Originally Posted by tyronen

I am moving to a new job in Mountain View, and have been looking at rents to get a feel for what's cheap and what isn't. And several areas stand out:

- Hayward. Long commute, but struck by the very low rents - 2-bdrm for $950! Is this a high-crime area?

- Valley Fair / Santana Row - this again is like a low-rent oasis. $1200 for 2-bdrm not uncommon. Why? I'm pretty sure it's not a high-crime area, and it's very close to shopping.

......... wow that's cheap for santana row..jump on it

[romeoDNB]

Personally I wouldn't live in Hayward. 880 is the worst freeway in the Bay Area.

[gentledental4u]

I live in Hayward, and yes, it's not esthetically pleasing to the eye, but I've never had problems with crime and drivers in Hayward are not half as bad as drivers that I've encountered in Elk Grove or San Bernardino or LA area. Plus, I remember looking up crime a couple months ago and comparing it to other areas. I was pleasantly surprised to find that crime wasn't so bad..

[muimi07]

Hayward is not bad as a bedroom community but if you crave any type of urban setting and/or culture, forget it. And some areas aren't great. Looking at that rent for a 2BR, I'd seriously think that was in a crap area of Hayward.

[unvrno]

"Hayward the best city to live in the country" Maybe if your smoking crack. That place is a dump and you can hardly call Alameda beach a beach. Come on!

Any apt that is advertised for $1200 may be near Santana Row but there is plenty of dumps in that area. Go down San Carlos a bit and your in the getto!

Anyone who tells you Hayward is a great place to live, is just trying to make themself feel better or trying to rent property.

[unvrno]

"Hayward the best city to live in the country" Maybe if your smoking crack. That place is a dump and you can hardly call Alameda beach a beach. Come on!

Any apt that is advertised for $1200 may be near Santana Row but there is plenty of dumps in that area. Go down San Carlos a bit and your in the getto!

Anyone who tells you Hayward is a great place to live, is just trying to make themself feel better or trying to rent property.

[mysticaltyger]

Hayward is not the greatest area. You wouldn't call it a slum...but it has it's share of ugly/industrial/ticky tacky areas. I don't think the crime is that bad there, but probably nothing to brag about.

As far as that $1200 rent for Santana Row...I find that hard to believe. It's probably not in the Santana Row complex proper...It's very likely the apartment is in a dumpy complex nearby (and there are lots of dumpy complexes in that area).