We’re now nine weeks or so into sheltering in place here in the greater San Francisco Bay Area, and you’ve probably heard media reports about many large Bay Area firms saying that they won’t be asking their employees to return to the office to work until 2021 at the earliest – and many are saying that they will never require employees to work on-site ever again. If that’s the case, won’t many people decide they might as well leave the bay area and live somewhere else with less traffic and lower costs for pretty much everything, if they can continue to make Bay Area money? The answer to that is YES, obviously, if that is true, many people will decide to leave the Bay Area and just work remotely – very remotely, in many cases. And if tens of thousands or even hundreds of thousands of well paid employees sell their homes and leave, won’t that pop the “bubble” that is Bay Area real estate? The answer to that is maybe, for a time. But nothing happens in a vacuum. If thousands leave – thousands will come to take their place. Maybe not all at once, so it could be we’ll see a period of time with lower prices as more people go than come. But the reality is, people will always come to California. As soon as the word gets out that housing costs have dropped by 10-50%, you can bet people will come running back. They’ll come for the jobs. They’ll come for the weather. They’ll come for the beauty, the culture, the people – they’ll come for the opportunity to take advantage of all that, and to live their best lives. I will never bet against California in the long term, because we are winners here. I have no doubt – none – that California will continue to be a desirable place to live in and own real estate for the rest of my natural life. Because California is the greatest place on Earth.
Bay Are Real Estate Price Deflation Coming Soon?
COVID-19 Mortgage Forbearance Presentation
Turn Off Light
I Like ThisUnlike Like
I Dislike ThisUn-Dislike Dislike