291 sqft condo in SF sells for $400+k

[jt2]

btw, I think this tech bubble is not going to explode.

If it is a bubble, it'll explode eventually. The only real question is whether it is a bubble. I've seen compelling arguments on both sides. But note that one of the hallmarks of a bubble is any variation of the phrase "it is different this time..."

Housing bubble?! What housing bubble? I have no recollection of such. My memory only goes back 5 years.

Sarcasm aside, and although the last bubble burst was driven in part by predatorial lending, it's amazing that folk can forget the past so quickly. The economy could turn down again depending on the next prez, and with it tons of jobs. And even tho there's better screening and higher equity requirement, it's hard to make note payments on absurdly inflated prices if the buyer/owner doesn't have a job.

All this to say, +1.

Agree that jobs are important, but I don't think any bust will be a direct function of jobs or who is occupying 1600 pennsylvania ave (Zestimate: Just under $400 million), but simply a matter of when the river of economic crack in the form of cheap money dries up.

 

[JesasaurusRex]

Not really. There are plenty of places I could buy a home for only one-third or even one-fourth the price of its equivalent here in the Bay. Yet there is no way in hell average salaries are only one-third of the Bay Area's.

Yea, for most of us you can find pretty much the same wage or close to anywhere else.

 

[Cycle61]

Yea, for most of us you can find pretty much the same wage or close to anywhere else.

Yep. Making the same money, but a nice 3 bedroom house here is still under $200k.

 

[JesasaurusRex]

Yep. Making the same money, but a nice 3 bedroom house here is still under $200.

I actually can't find the money I make in the BA. Even less so in southern CA. Probably over saturation is my best guess. Dummies taking less money to stay at home driving the going industry rate down. Fuckers

 

[MikeL]

Had a discussion last night at the parents place about real estate. How so many apartment complexes are "closed for renovations" then when they re-open they tell the tenants that their rent will be going up by ~$1500/month. Most of them could barely swing the previous rent, let alone an additional ~$1500.

Now I'm hearing Facebook is buying up apartments and homes in EPA, fixing them up, and selling them/renting them to employees. I think fixing up neighborhoods are great, but this will displace the people who live in EPA.. or at least it might head that way.

Every fucking thread.

Seriously, can't this shit be contained? I don't mind it so much when it's contained to threads somewhat involving the discussion of such issues. But in a real estate thread?

 

[Archimedes]

There's 4 bed, 2.5 bath, 1600 sq ft single family homes in Austin, TX for $90,000. :|

Austin's one of the few places I'd strongly consider moving to after college depending on jobs.

You haven't been to Austin lately, have you?

It's been on my retirement city short list, but the property values there have just gone insane. Considering the climate and amenities (and I've lived there before), I think it's more out of whack than the Bay Area.

 

[MikeL]

You haven't been to Austin lately, have you?

It's been on my retirement city short list, but the property values there have just gone insane. Considering the climate and amenities (and I've lived there before), I think it's more out of whack than the Bay Area.

I'm confused. You like Austin or don't like Austin?

 

[Archimedes]

I paid that for a condo, actually a bit less. I was asked on Fri if I was interested in a job in corpus christi. I said no but looking at that I might reconsider.

No. Just say no.

Parts of Texas are great. CC is not one of them.

 

[maxandgrinch]

Yea, for most of us you can find pretty much the same wage or close to anywhere else.

Then why are any of you still living here?

Help cause the housing and rental bubble to burst teach all the developers and landlords a lesson and move away.


Commute? Remember, time is something you can't buy more of, just ask Stuart Scott.

 

[Archimedes]

I'm confused. You like Austin or don't like Austin?

I do like Austin relative to a lot of other places. But the property values are wildly out of whack right now for what that city offers. IMO, even more so than the Bay Area. And I think values there are more at risk. When you consider what's driving the Bay Area real estate market, none of it is present in the Austin market to any real extent. Cheap money is the only thing driving that market. And that, along with the shale boom that is driving that economy to a large extent, is probably in a waning phase.

 

[MikeL]

I do like Austin relative to a lot of other places. But the property values are wildly out of whack right now for what that city offers. IMO, even more so than the Bay Area. And I think values there are more at risk. When you consider what's driving the Bay Area real estate market, none of it is present in the Austin market to any real extent. Cheap money is the only thing driving that market. And that, along with the shale boom that is driving that economy to a large extent, is probably in a waning phase.

I totally agree, I don't understand how another housing bubble can happen like this with nobody going "WTF." I don't understand anyone who would pay these prices, I don't think the market can sustain it. But I guess those who are paying $1.5mill+ in San Carlos have the money to blow with all cash offers. HOW THE FUCK.

 

[Marcoose]

Cheap money is the only thing driving that market.

I honestly don't know its weigh in driving the real estate prices, but the cash offers with nouveau Chinese money must play a role. I've been hearing about a lot of these transactions lately.

 

[Archimedes]

I honestly don't know its weigh in driving the real estate prices, but the cash offers with nouveau Chinese money must play a role. I've been hearing about a lot of these transactions lately.

I was referring to Austin. Chinese money isn't flowing to Austin like it is to California. It's definitely is playing a huge role here and has been for some time.

 

[Marcoose]

I was referring to Austin. Chinese money isn't flowing to Austin like it is to California. It's definitely is playing a huge role here and has been for some time.

10-4. I was thinking you were referring to SF.

 

[Reli]

SF has one of the best economies in the nation. Austin is more about its perceived "hipness". But that's not saying much, because in that part of the country, it's not too difficult for a town to be hip.

 

[catch2otwo]

hope there is a big old bubble. Just bought a house. Im waiting to cash in my lottery ticket in 5-10 years

 

[SFSV650]

I seriously have never understood what's so special about living in the city. Even a lot of the "nicer" places are old buildings with super thin walls, no parking, cramped spaces, etc..

For a lot of folks, not being told their kid has two dads is probably a part of it.

I had a couple of Hoosier houseguests a few months back; not awful people, but they cat called or harassed every woman they saw, openly mocked homosexuals, declined any any beer that wasn't Bud / Coors, sneered at how few trucks we drive, tried picking a fight on the street, refused to walk anywhere, and they're still telling folks back in Indiana we took them to a vegetarian restaurant (only one out of a half dozen we treated them to). Reminded me that for some folks, living in some of the bigger cities is paying a premium not to deal with that nonsense on a daily basis.

 

[Marcoose]

I had a couple of Hoosier houseguests a few months back; not awful people, but they cat called or harassed every woman they saw, openly mocked homosexuals, declined any any beer that wasn't Bud / Coors, sneered at how few trucks we drive, tried picking a fight on the street, refused to walk anywhere, and they're still telling folks back in Indiana we took them to a vegetarian restaurant (only one out of a half dozen we treated them to). Reminded me that for some folks, living in some of the bigger cities is paying a premium not to deal with that nonsense on a daily basis.

I don't want to meet your awful friends.

 

[Reli]

For a lot of folks, not being told their kid has two dads is probably a part of it.

I had a couple of Hoosier houseguests a few months back; not awful people, but they cat called or harassed every woman they saw, openly mocked homosexuals, declined any any beer that wasn't Bud / Coors, sneered at how few trucks we drive, tried picking a fight on the street, refused to walk anywhere, and they're still telling folks back in Indiana we took them to a vegetarian restaurant (only one out of a half dozen we treated them to). Reminded me that for some folks, living in some of the bigger cities is paying a premium not to deal with that nonsense on a daily basis.

Perfectly stated.

Not to mention a lot more entertainment and cultural options.

In most suburbs, they think "stepping out" = Hard Rock Café or Chuck E Cheese.

 

[Dubbington]

I dont see evidence of a bubble going to bust. All the shady loan practices are gone. People need $$ down and credit and documented income.

I see interests rate going up, that would make a subtle impact.

There at A B & C zones of property. A zones get affected the last. SF is an A zone whereas Brentwood would be a C zone, it gets affected the soonest.

Too many jobs and no place to live, supply and demand.