Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Income isn't the only thing that sustains housing, but wealth. Lots of people bring equity/cash with them and are able to buy and pay for homes that their income alone can't afford.
Less than 5% of the US population has 1 million dollars and that is total net worth. Not all of them want to live in the Bay Area.
Less than 5% of the US population has 1 million dollars and that is total net worth. Not all of them want to live in the Bay Area.
Obviously there are enough people with money still buying, prices still up etc....
About 1/3 of sales in all cash, split about 50/50 between foreign buyers and Americans with money, mostly older people.
Lots of people living in SF bought low and have held for a long time, so those people most likely don't have the income to afford the area in today's prices, yet they still live there. There are plenty of people like that all over the world in expensive cities who sell, take their wealth and go elsewhere etc..
As long as the jobs and the money keeps coming in, prices will still be supported.
Population grows continually, number of rich people grows even when the percent of population that are rich stays the same while supply in the area can't keep up etc...... so that helps to keep prices up.
It is what it is.
I find it ironic when people can't believe that some cities around the world are just going to be this expensive. People who have the means have to live somewhere and they all want to live in a handful of places so that will drive the prices up, especially when we can't add much supply.
Obviously there are enough people with money still buying, prices still up etc....
About 1/3 of sales in all cash, split about 50/50 between foreign buyers and Americans with money, mostly older people.
Lots of people living in SF bought low and have held for a long time, so those people most likely don't have the income to afford the area in today's prices, yet they still live there. There are plenty of people like that all over the world in expensive cities who sell, take their wealth and go elsewhere etc..
As long as the jobs and the money keeps coming in, prices will still be supported.
Population grows continually, number of rich people grows even when the percent of population that are rich stays the same while supply in the area can't keep up etc...... so that helps to keep prices up.
It is what it is.
I find it ironic when people can't believe that some cities around the world are just going to be this expensive. People who have the means have to live somewhere and they all want to live in a handful of places so that will drive the prices up, especially when we can't add much supply.
In the 50s places like this cost maybe 25% more than say suburban midwestern cities vs 500%+ now. The economy has heavily distorted since then.
Stocks are overvalued and due for a correction. Maybe a little more. Real estate is overvalued in some areas. Otherwise we are in a low growth atmosphere with low inflation.
Here in NJ housing hasn't even kept up with inflation since at least 2003.
The difference would be more rapid distance decay in both the DC and NYC areas.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
