@Patrick I don't think that $1000 per sq ft in Mountain View, CA is real. I've been reading SF is the crazy market now. This article says you can get houses for $330k Homebuyers in pricey markets are now scared to dream
Taking issue with the 43" 4K article
- Thread starter OBasel
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@OBasel - I can tell you this - whoever wrote that article, despite being a Patrick does not know much about SF pricing. $300K in Palo Alto area (say 1 town north, south, and west) is more like a premium paid over asking. SF is very similar.
My take: the real reason people in SF are looking close to or lower than their expected pricing is because everyone knows you are paying over asking price. In fact, in SF the buildings near Google bus stops even are priced at a bigger premium.
If you want some data: Mountain View CA Home Prices & Home Values | Zillow
Let's say you wanted a 2 bedroom 1 bath home with under 1200 sq ft in an area that is not even one of the more desirable parts of town: Mountain View Home For Sale ($1.4M offer pending on it.)
$300K sadly does not buy much here which is a major issue.
My take: the real reason people in SF are looking close to or lower than their expected pricing is because everyone knows you are paying over asking price. In fact, in SF the buildings near Google bus stops even are priced at a bigger premium.
If you want some data: Mountain View CA Home Prices & Home Values | Zillow
Let's say you wanted a 2 bedroom 1 bath home with under 1200 sq ft in an area that is not even one of the more desirable parts of town: Mountain View Home For Sale ($1.4M offer pending on it.)
$300K sadly does not buy much here which is a major issue.
Real estate price has its silver lining.
Back in President Carter administration, mortgage interest rate was as high as 15-16% APR, inflation was double digits.
I was able to purchase a single family house in SF Bay area for $2,500 down payment due to scarce buyers.
The down side is that I was only making $7 - $8 per hours. Eating one full meal a day, working 60-80 hours to pay the mortgage.
After 15 long years, the house is fully paid for, and generating over $2,500 per month rent.
Just wait for the next housing bust cycle,
I still remember that you could not sell a San Francisco single family house for $200K in year 1990 , and $400K in year 2007-2008.
Back in President Carter administration, mortgage interest rate was as high as 15-16% APR, inflation was double digits.
I was able to purchase a single family house in SF Bay area for $2,500 down payment due to scarce buyers.
The down side is that I was only making $7 - $8 per hours. Eating one full meal a day, working 60-80 hours to pay the mortgage.
After 15 long years, the house is fully paid for, and generating over $2,500 per month rent.
Just wait for the next housing bust cycle,
I still remember that you could not sell a San Francisco single family house for $200K in year 1990 , and $400K in year 2007-2008.
You definitely couldn't buy a home in the Bay Area on $7-8 per hour today!
I was young back then. Later I learned
Rule #1 on investing, use other people's money and other people's time.
Secrets of the rich: Use other people’s money - MoneySense
Edit: added link