Is Berkeley affordable? (Oakland, Richmond, El Cerrito: how much, house, to buy)

[jzt83]

Rents are lower in Berkeley than SF by maybe 20% - 30%. But if you commute to SF via BART daily, then the BART fares would negate all or some the savings.

[bayarea-girl]

jzt83, the last time I checked the rents are not less by 20-30 % lower in Berkeley than SF unless you are not on the good side of town or in some sort of student housing. You get more for your money in Berkeley than you do in SF in terms of space. But make no mistake Berkeley is very expensive.

[jzt83]

I've never lived in Berkeley but have been there a good amount of times. Most of the houses are old and modest bungalows with jungle looking landscaping. I suppose many Berkelites like to grow as much food on their properties and/or enjoy the "natural" look. The exceptions are the extreme southeast area around Elmwood, North Berkeley and the hills. The downtown area has los of homeless with some panhandlers while Telegraph has lots of gutterpunks are a lot more pan handlers and is kinda like the Haight. The main supermarket that seemingly every Berkelite shops at is called Berkeley Bowl, which is a massive former bowling alley that sells a crap load of produce and natural items. There's also and "all natural" pharmacy called Elephant pharmacy located in the Gourmet ghetto that's kinda like a walgreens for green eco-concious people. Then there's Cafe Gratitude that serves all vegan raw food, Cha Ya, which serves vegan Japanese food, and Herbivore, which serves horrible vegan food.

[pukeko]

Originally Posted by vdy1985

Berkeley is a very nice happening place. But housing is very expensive. Apartment shortages drive up prices like no other. It needs rent control, I went to school there and, ouch rentals are out of this world.

Berkeley has rent control, but also vacancy de-control -- which means when the old tenant moves out, the landlord can raise the rent to market rate. And single-family homes are not covered by rent control.

Berkeley's a great town, if you're into, well, Berkeley-ish stuff (or amused by and/or tolerant of those who are).

It's not really affordable though, unfortunately. You could do it on $40K if you counted your pennies, but I don't think it would be that comfortable. (I lived in the lower-rent area of Berkeley with a roommate in a very basic house - and felt squeezed on $50K.) Check craigslist for current rental pricing.

[Drover]

Originally Posted by vdy1985

Berkeley is a very nice happening place. But housing is very expensive. Apartment shortages drive up prices like no other. It needs rent control, I went to school there and, ouch rentals are out of this world.

You realize that rent control creates the very shortages that you want remedied by rent control, right? The problem with rent control is that it creates its own need.

[JimmyJohnWilson]

if you were moving here in 1985 you could afford it

[cardinal2007]

I know people who live in Berkeley with 1 roommate on only about $18k-$25k/yr, it really depends on what you want to do, and how you want to live. I know people who rent a 2bd near the North Berkeley BART for only 1200-$1300/month, which seems affordable compared to SF, and many parts of the peninsula. But in many parts on the country you can rent a relatively new apartment or condo for that. So it really depends on what you want to do. If you're okay living like a grad student then sure it is affordable, and I guess at $40k you could be more comfortable, maybe you could live by yourself on that, but I don't know if it would be to your liking.

[mysticaltyger]

Originally Posted by Lulu101

Not very "progressive" of Berkeley, is it? They should base rents on a sliding scale there.

How about actually building some housing there so that supply and demand (and hence, prices) can come into balance???

I know it is mostly built up, but I've seen some vacant lots there. And Berkeley does have a reputation for creating lots of red tape and not getting anything done.

[mysticaltyger]

Originally Posted by Drover

You realize that rent control creates the very shortages that you want remedied by rent control, right? The problem with rent control is that it creates its own need.

I was about to say the same thing. It is widely agreed among economists across the political spectrum that rent control makes matters worse in the long run because it creates all kinds of unintended consequences (landlords not doing maintenance, new renters paying higher rents to make up for the lower rents existing renters pay, long-time renters holding onto apartments they don't even live in any more but keep because the rent is so cheap, and last but not least, more bureaucracy which discourages developers from building and adding to the housing supply).

I'm not 100% against all rent control. I think weak rent control ordinances are ok (say that allow for keeping rent increases to the inflation rate plus 5% or something like that), which would eliminate rent gouging in boom times.

But this is one of those issues where emotions overrule rational thinking.

[majoun]

Originally Posted by mysticaltyger

I was about to say the same thing. It is widely agreed among economists across the political spectrum that rent control makes matters worse in the long run because it creates all kinds of unintended consequences (landlords not doing maintenance, new renters paying higher rents to make up for the lower rents existing renters pay, long-time renters holding onto apartments they don't even live in any more but keep because the rent is so cheap, and last but not least, more bureaucracy which discourages developers from building and adding to the housing supply).

And also tends to hurt the poor, the young, and non-whites while helping the affluent who already have places to live. That is why the French government under the Socialist Party in the early 1980s (who made SF city government look right wing by comparison) eliminated rent control in Paris. It also creates a black market in which housing is more available to those willing to pay more money.

Rent control is one of the factors that makes Berkeley and SF even more expensive than they would be otherwise (obviously, desirability will always keep rents higher than somewhere like Fairfield or Richmond)

Rent control is politically popular though, even if economically inefficient and unsound.