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Old 10-15-2012, 10:33 AM
 
925 posts, read 4,709,234 times
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I live in Houston, TX and owns a 3100 sq feet 2 story house which I bought for 170 K. Although it is practical for me to live in Houston (family, friends, less expensive) but sometimes the heat and weather gets into me.

I started to do some research about houses in California. The houses in Dublin cost around 600K. I am looking for a house near San Francisco.

My question is that how do people ever afford 600K houses. I know California people get paid more but not that much.

I just cannot imagine or get my mind around that how people ever live in 600K houses and afford it. Not to mention the houses are less than half the size of my houston house.
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Old 10-15-2012, 10:45 AM
 
Location: League City
3,842 posts, read 8,267,922 times
Reputation: 5364
Supposedly the snow-capped mountains, humpback whales, and world class culture even it out. All kidding aside, that's why people are moving to Texas. I can deal with the heat if I can actually own my home in my lifetime:

Californians finding their way to Texas - San Antonio Express-News
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Old 10-15-2012, 10:47 AM
 
Location: The Greater Houston Metro Area
9,053 posts, read 17,195,821 times
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Some in SF have had their homes for some time - the homes weren't as expensive when they bought. Last time I was there, I visited a couple of houses for sale. I think you are going to be disappointed with what $600K gets for you, after Houston.
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Old 10-15-2012, 11:25 AM
 
Location: Houston, TX
17,029 posts, read 30,919,735 times
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Truth is, they really can't afford it. Thats why many live two hours or more from work.
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Old 10-15-2012, 12:22 PM
 
Location: Clear Lake Area
2,075 posts, read 4,445,897 times
Reputation: 1974
For one, you're looking at the most expensive metro area in the country for houses. San Francisco Home Prices Are Highest In Nation And Getting Higher Fast (PHOTOS)
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Old 10-15-2012, 12:25 PM
 
Location: Pearland, TX
3,333 posts, read 9,172,989 times
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From 2008 - 2010, there were more foreclosures in California than any other state. There's your answer.

Ronnie
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Old 10-15-2012, 01:04 PM
 
Location: Austin
108 posts, read 199,439 times
Reputation: 115
I grew up in California and thought $750k houses were normal. When I moved to Texas, I thought the houses here were underpriced.

It's all perspective I guess. If you've been in Texas your whole life, $750k does seem excessive for a normal 3000 sq ft house.
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Old 10-15-2012, 01:14 PM
 
5,976 posts, read 15,268,391 times
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Default 600K will get you a dump in San Francisco...

I have some friends who bid on a house, they bid 615K, 15K higher than the asking price. The house was an old home, 1940s. No driveway, thus no parking. It was 1200 sq ft. It was rather plain/ugly looking, nothing to brag about, but the Redwood trees and mountain backdrop was great.

BTW, they were outbid and the house sold for 625K... eight years ago, in Oakland.

I'm not sure, but I think many of those young people get interest only loans. I know nothing about how those work, but just the name does not sound interesting to me at all to bother finding out. Also, some people get 50/60 year mortgages. Be thankful if you own your home and live in Texas!
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Old 10-15-2012, 01:28 PM
 
Location: Pearland, TX
3,333 posts, read 9,172,989 times
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It's all in the land values, youknow. Has nothing to do with the structure.

Ronnie
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Old 10-15-2012, 04:05 PM
 
Location: The Greater Houston Metro Area
9,053 posts, read 17,195,821 times
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Quote:
Originally Posted by HoustonRonnie View Post
It's all in the land values, youknow. Has nothing to do with the structure.

Ronnie
Some it does. Our labor costs are less here.
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