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Silicon Valley is NOT an urban center, it is a suburban area of Santa Clara County. It is Santa Clara Valley renamed, from Palo Alto down to San Jose and a bit

by athms 6y ago

Silicon Valley is NOT an urban center, it is a suburban area of Santa Clara County. It is Santa Clara Valley renamed, from Palo Alto down to San Jose and a bit north to Milpitas. I don't expect the pandemic and recession to impact Silicon Valley that much. You certainly don't see it in home prices or rents, which have either remained stable or gone up. San Francisco on the other hand is hurting. Both rents and home prices are down.

grandmczeb 6y ago
I was able to negotiate a pretty sizable rent decrease here in Palo Alto. That's a single antidote obviously, but I think that would have been impossible if covid wasn't having a significant impact on the housing market.
jarjoura 6y ago
Depends, rents have flattened across the entire bay. They are offering 2-3 months free rent all over the place. 1 bedroom condos in downtown SF have been flooding the market and selling under listing because they’re only attractive to people who want city life and live close to the office. Single family homes and bigger condos further from downtown have been selling when only listed for a week. Those are driven by people’s desire for more space and historic low interest rates. I’d say overall, SF real estate is actually doing quite well.
tastygreenapple 6y ago
Rents are nominally flat but I think landlords are making free N months of rent concessions that are unprecedented. Additionally, Silicon Valley is under an eviction moratorium so many rental units are occupied by delinquent tenants and we should expect those to enter the market and change the equilibrium - presumably towards lower rents. It is interesting that the landlords are so loathe to drop the rent price (related to rent control incentives?). I moved out of San Mateo county in March and my old apartment is still unoccupied and I don't foresee it renting any time soon, at this point my landlord has let the unit sit empty for nearly 6 months rather than take a price concession. However, with an eviction moratorium, I can imagine they're extra careful about screening prospective tenants.

by athms 6y ago

grandmczeb 6y ago

I was able to negotiate a pretty sizable rent decrease here in Palo Alto. That's a single antidote obviously, but I think that would have been impossible if covid wasn't having a significant impact on the housing market.

jarjoura 6y ago

Depends, rents have flattened across the entire bay. They are offering 2-3 months free rent all over the place. 1 bedroom condos in downtown SF have been flooding the market and selling under listing because they’re only attractive to people who want city life and live close to the office. Single family homes and bigger condos further from downtown have been selling when only listed for a week. Those are driven by people’s desire for more space and historic low interest rates. I’d say overall, SF real estate is actually doing quite well.

tastygreenapple 6y ago

Rents are nominally flat but I think landlords are making free N months of rent concessions that are unprecedented. Additionally, Silicon Valley is under an eviction moratorium so many rental units are occupied by delinquent tenants and we should expect those to enter the market and change the equilibrium - presumably towards lower rents. It is interesting that the landlords are so loathe to drop the rent price (related to rent control incentives?). I moved out of San Mateo county in March and my old apartment is still unoccupied and I don't foresee it renting any time soon, at this point my landlord has let the unit sit empty for nearly 6 months rather than take a price concession. However, with an eviction moratorium, I can imagine they're extra careful about screening prospective tenants.