Bay Area Real Estate is now in Funny Money Territory

[Fat Boss]

Wow. Home prices rose an astounding 27% year over year on top of already high prices in my county, Santa Clara. I'm sure glad I bought in when I did about 3 years ago. The median price is now $1,282,500 in a very large county in terms of number of homes- ~600,000.

https://www.mercurynews.com/2017/12...ngs-sank-in-november-as-prices-shot-up-again/

https://www.census.gov/quickfacts/fact/table/santaclaracountycalifornia/PST045216

 

[VoodooBoss]

Yep things are just crazy there.

 

[JAJ]

Where I live, house prices have risen at a compound rate of 10% per year for the last 15 years. They doubled, and then they doubled again. The tear-down just up the street (it's a hole in the ground today) sold for $3.8M last year. The nature of the neighborhood is changing too. These days, we've got a surprising number of Bentley's - sedans, coupes and SUV's - parked on the street, and the other day I passed a brand-new Rolls with an N on the back. It's not unusual to be gassing up the Ford at the local Chevron alongside V12 Ferrari's and Lambo's. People are complaining about "housing affordability" but as far as I can tell, the folks buying into this neighborhood don't have any problem affording the prices.

 

[VoodooBoss]

@JAJ I thought you lived in Canada not Beverly Hills.

 

[Fat Boss]

Sounds like Hillsborough or Atherton.

 

[ArizonaBOSS]

“Now”??

 

[Fat Boss]

Well there was like a five year span where people weren't buying much and prices dropped as much as 50%.

 

[Fabman]

Commercial space is crazy too....there are currently only 3 light industrial spaces available in the pleasanton/dublin area. Everything is rented out. I'm glad I secured my 2 shops years ago when it was cheap. (and next door to each other so I could combine them). And rent...don't even ask what commercial rent is.
Seems like no matter how much money I make I'm basically giving 95% of it to Rent, Taxes and Hoosier.