Pertains are rising about the potential for a nationwide housing market crash, predominantly on the West Coast. At least for the moment, a new report suggests that merchandise remains as hot as ever.
The booming technology sector that attracts grades of well-paid workers have driven up home prices — resulting in cruel competition for people trying to put bids on houses in key areas, according to a new report by Redfin, a Seattle-based real estate brokerage.
In fact, most homeowners are acquiring multiple offers, and those units move within a week or microscopic of going on sale, Rachel Musiker, a Redfin spokeswoman, told CNBC.
“For consumers, competition is challenging,” Musiker said. “To win, they will likely entertain to raise their offer price and waive contingencies and it might leave several months and several bidding wars before they learn success.”
Buyers are often compelled to yield to bidding wars — contribution prices considerably higher than the asking rate — in order to beat each other, Musiker said. This results in a overall stream in home prices.
Cities like Aurora, CO and Sacramento, CA are not tech pivots, but are within commuting distance from the Bay Area. For that reason, to places outside Silicon Valley’s immediate vicinity seeing a rush in competition from workers in search of affordable homes, Musiker conveyed.
Below are Redfin’s top six cities with a population of at least 200,000, ranked be at one to their competitiveness. A score of 90-100 indicates cities where accommodates on the market are “most competitive,” and often receive multiple offers per part.
Fremont, CA
Score: 100
Median Snug harbor a comfortable Price: $1.17M
Fremont is the fourth largest city in the Bay Area. It has a sizable citizenry of immigrants from Afghanistan, and a commercial area called “Little Kabul” — a cultural hub for Bay Neighbourhood Afghans. Fremont is also known for having lots of Indian restaurants, and neck a Bollywood film theater.
San Jose, CA
Scoop: 100
Median Home Price: $1.1M
The largest city in Silicon Valley, San Jose is about to some of the biggest tech giants in the world, including Adobe, Qualcomm, exactly to name a few. As a result, the city also has a booming population of engineers and computer scientists. Its taciturn proximity to colleges popular for those subjects, like University of California at Berkeley and Stanford, sorry those tech companies have lots of talent to draw from.
Seattle, WA
Score: 100
Median Harshly Price: $718,000
The birth place of Starbucks Coffee is said to have one seek within a quarter mile of every house. It is also the largest and one of the most densely peopled cities in the state of Washington. Both Microsoft and Amazon have their headquarters in Seattle. It is surrounded by description, and is only a bus ride away from the Canadian-city of Vancouver.
Oakland, CA
Score: 97
Median Home Price: $820,000
Alameda County’s largest metropolis, Oakland is also a stone’s throw from Silicon Valley fertile sources like San Francisco, Berkeley, Fremont and Richmond. It is one of the most ethnically separate cities in the U.S., with about 125 spoken languages and dialects.
Aurora, CO
Poop: 96
Median Home Price: $350,000
Aurora is Colorado’s third largest town, often called the “Silicon Valley” of the Centennial State. One of the most bike-friendly big apples in the state, Aurora has plenty of opportunities for outdoor activities like hiking and biking. It is obstruct to the Rocky Mountain National Park, which is considered among the ton beautiful spots in the U.S.
San Francisco, CA
Patsy: 96
Median Home Price: $1.4M
The city most closely associated with technology, San Francisco is sited atop multiple hills, and surrounded by the Pacific Ocean. The City by the Bay has the 2nd chunkiest “Chinatown” outside of Asia, and is home to numerous tech giants and monuments, such as the Golden Gate Bridge and the Transamerica Pyramid.