Re:What Happens to Home Prices When Technologists Come to Town
by shostack on Saturday June 20, 2015 @03:00AM
(#9749251)
Let's be honest....there are many other reasons why homes in the Bay Area are more desirable to many compared to Texas.
It also attracts much more foreign investment due to its location.
Re:What Happens to Home Prices When Technologists Come to Town
by saryant on Saturday June 20, 2015 @04:22AM
(#9749361)
According to the National Association of Realtors, that's actually not the case. California attracts only slightly more international buyers than Texas.
Texas has stronger ties to Latin America and the Middle East while still attracting a not-insignificant number of Asian buyers (Houston in particular has very strong ties to Asia). California obviously does get the bulk of investment from Asia.
http://www.realtor.org/sites/default/files/2014%20Profile%20...
Compare that to the two regions' 5-year housing price index (a measure of the movement of housing prices). The Bay Area sits at 36 yet Houston at 25. Despite faster population growth, Houston's housing prices have not risen nearly as dramatically.
I have to imagine that can be at least partly attributed to the seemingly limitless number of houses being built around Houston.
(This comparison would probably make more sense if we could compare CSAs rather than MSAs but I couldn't find a breakdown of housing price trends at that level)