Million Dollar Shack: Trapped in Silicon Valley's Housing Bubble
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- Опубликовано: 18 окт 2015
- Our family has been priced out! Has the Bay Area gone crazy? Real estate prices have doubled in the last few years, a tent in the backyard can rent for $900/month, foreign investors are driving up prices, evictions and rent hikes are everywhere, people are commuting longer than ever, the middle class is disappearing, empty investment homes are everywhere, and locals are leaving in record numbers. The worst part? Some people are calling it "progress".
#MillionDollarShack
milliondollarshack.com/
Canada is fighting back on these foreign investors, applying a 15 percent tax on purchases by non residents, and requiring non resident buyers to pay capital gains taxes of 25 percent upon sale. They're also now defining residency more strictly, requiring you to live in Canada six months out of the year. This is after Vancouver real estate blew up due to these investors. Maybe we can do the same.
We may be fighting back now, but our government still let it go on for a good 30 years before doing absolutely anything. The price for detached home in vancouver west still starts at 2 million. For some reason bay area rent is double ours. And that really fucks people in the end
yup (Nice name, lol), and thank goodness for that, Toronto already has pretty high living costs...
yup true
The 15% tax hasn't slowed things much...what's 15% to people that can afford to bid well over the asking price. Countries and municipalities are trapped now...
What are you talking about? The greed government can always ban foreign investors.
That realtor has no idea he'll be replaced by an app some day.
weirdshibainu Future technologies will weed out the bad ones and keep the useful ones
an app that those chinese investors are building no less...I'm living in china. Y'all have no idea what they're bringing.
lol right!
He has it’s called Redfin
So whats the idea an app, creates and app, creates, app. Where did apps come from H uman beings? This is part of the problem with technology, robots and apps should not take the place of human jobs, or if that becomes reality, this problem gets much worse!
We left the Bay Area 4 years ago for North Carolina.
Best. Decision. Ever.
Rachel Sheldon Louisville was terrifying the last time I went and I’ve traveled all over the country and internationally. The homeless population tried to follow us into the gas station and to our hotel. I’ve never experienced that in any other city.
AMEN!! AND WELCOME!! Ain't N.C. great!! Ocean, Mountains, Kind People if you stay out of the Military Towns...
Rachel Sheldon why would you want a brand new home? I love the old, historic homes in cities like Minneapolis.
Emily Browning p
thanks for leaving!
The Realtor needs a slice of humble pie.
Yes he does
No, the realtor needs to be kicked in the ass by a Californian who was born and raised here!
Humble pie...Mashed into his face, and ground into his $10,000 dollar suit. Better yet...sticking his tie into the garbage disposal. Well...maybe not that.
I agree
A bullet!
Wonder if Ken would be so smug if he knew some of those "smarter" techies are working on real estate apps that will shut off his commissions.
Bring it on. Ken - such a glib little fuck.
He's a total PUKE, lol🤢
@@d.dedrick7991 That's a compliment! No, he's a greedy P.O.S.
4 years later and yes... Only the dumb buyers/sellers are using the like of "Ken"
He truly seemed an Arrogant, Flippant and
Uncaring individual!! He is a prime Example of what's wrong with our Government!!
MONEY MONEY MONEY!!
SO WHAT IF PEOPLE LOOSE THEIR HOMES🙄
What was it the Worm said? GET MORE EDUCATION!! WORK HARDER!! Many of these people have worked their whole life to be priced out of there homes!! Not just those who have had their rent or payments increased..Those who own their home have to deal with the issues of Taxes Driven up by the prices of Real Estate around them!
This just breaks my heart!!
There has to be a way that they can fight back!! I'm sure that this is Unconstitutional!!! They need a lawyer well versed in Constitutional Law!!
"This will go on forever" such a salesperson thing to say & nothing goes on forever.
Julia N Yehweh started time and He WILL stop it. don’t be deceived
Same as 2008?
Facts only "Nothing" will go on forever
when it goes crash it will be huge and in London Kiev Paris many other places
Actually, it will go on for a while. The population will keep increasing, so demand will keep increasing, and the limited amount of lands means that supply will be limited. Basic ecnomic principle.
The dude named Ken at the end of the video is clearly from LA or some other superficial, nihilistic, no-moral town in California where people are judged by their wealth. "Someone at Google has more right to be here than someone who was raised here their whole lives."
What an inhuman, materialistic way of life that guy must lead.
That mentality has widespead here in Austin by the same western tech culture that has invaded this once quaint and tight-knit town. r/Austin is filled with comments like that douche nozzle.
@@cristinaherrera5321 👏You are ABSOLUTELY right! I could say more, but will leave it alone.
This is rich peoples problem- when blue collar workers complain about outsiders pricing them out of the labor market; we are told to shut up and take it!!! They say either get a second job or educate yourself.
More over from that ms Lynn he had such condescension in his voice and what seems a worship for the tech people and those companies the arrogance on that man it will be sad when the same thing he worships will be his undoing( that being money lol)
Dude.... Who even wants to live there?
The ignorance of that real estate agent is amazing. Can't wait till automation replaces him and that POS is living on the streets cause he can't afford a $1.8million 2 bedroom home.
Me neither
@@ellen4956 Yeah. the dude is a total snob. You can tell he is fake and just a product of his success.
Well, he will go to another state, as simple as that
"Work harder and get more education!" Wow, he's really disconnected from reality...
@Shay Monte' white people? you mean the 1%? there is no color differential when it comes to everyone being poor anymore.
I have worked harder and got a very good education. However, the prices there are insane. They are completely out of touch with the outside world. Almost a million dollars for a condo with asbestos next to the highway? No thank you! I have been offered a chance to work on the West coast for a high tech company with two pending offers, another on the East coast. I am glad to remain on the East coast. My son and I have a much better quality of life because of that choice.
Well he's probably a million times richer than us, I would say he's more attached to reality than we are
@@gene3497 yeah, I mean they can go to other state, basic supply and demand
I remember seeing another document where $150,000 is poor in SF
To the woman who's rent went from $1000 a month to over $8000?!?!? Damn...💔
In San Francisco for every ridiculous rent increase like this there are thousands of rentals limited to increases way under inflation rate by rent control board. For long-term tenants under rent control it's impossible for them to move out so that any vacancy will be sky high in rent. Once outside the city with no rent control, rentals are more reasonable where the market dictates the rent rather than artificially suppressed.
I can't believe that no one stepped in to help her .
I completely disagree with the realtor. Home prices simply cannot just keep going up forever.
What people don't realize is most land to build on is taken so prices will continue to go up. My mom's house was 33k in 1970. Now close to 2 million. Sad it's like that but it is what it is.
This comment didn't age well lol
@@beatone2000this could easily be offset by rezoning
I just moved my family from the crap hole of California. I highly recommend other people do the same. The quality of life is better and it's a fraction of the cost. Just take the jump, go for it. You'll be happier, after living there for nearly 40 years, we just did it. And it was the best thing.
good for you! we did the same last year!!
In the late sixties my parents bought a brand new four bedroom house with a huge fenced-in back yard and two car garage in San Jose for $28,000. Absolutely mind boggling. Needless to say I would have no chance of living in that neighborhood now.
Quick question. What happened to the home? Did they sell or pass it down to you?
$28,000 was expensive for a home in the 1960s. My parents bought a single family two bedroom home in Woburn, MA in 1977 with a mortgage of 23,900 (so likely total purchase price of 30K). They then sold it in 1987 for $152K. Literally 5 times the purchase price in ten years. They did however have to pay a mortgage rate of 14%. I believe in 1977 they made $10,000 each so possible income of $20,000 a year to buy a $30,000 house.
Yes, of course 99% of people can't afford to buy into the San Jose market because 99% don't have the skills to earning $200-500k a year in the companies in Silicon Valley. It kind of amazes me that so many people don't seem to understand how markets work. If you're working as a barista you're not going to be buying a $1-2m home. This was covered in Economics 101.
Knock, KNOCK...
Who's there?
34,999 other cities in the USA!
Did you watch it? She actually talked about people being forced to relocate from the area. But obviously the problem remains. A metro area that can't sustain a middle class because of overinflated real estate prices is not sustainable in the long run.
ChitownBlue maybe you didn’t hear the “indefinitely sustainable” part
Sea Mikki
👏🏾👏🏾👏🏾👏🏾👏🏾
My parents move there (Mountain View CA)in 1960 when i was 5.About 1974 they bought a house in Los Altos on Almond Dr for 20,000. I went to MT. View High School which was on Castro ST at that time.. M.V, downtown and San Jose were both run down areas. 101 was two lanes in both directions, 101 use to end at Blossom Hill RD in San Jose, than you would have to switch to Monterey Rd.. and then jump back on 101 in Gilroy. In the early 60s there was a stop light on 101 at Moffied Field for the Navy Personal to cross. El Camino use to be one lane on both sides with no traffic, and 101 had no traffic. Shoreline use to be the dump, we would pull up and dump are stuff on the ground, and you could scrounge thru it . 280 was built around 1966 ,, i remember crossing the road on foot when it was under construction while visiting a friend hiking. The highways were originally only 101 and 17. Highway 85 use to run from 101 to DE Anza college and stop... There also was no Highway 5 , 680,380,87 and so on. I remember crossing the old dumbarton bridge (which was a drawbridge) the remnants are still there at both ends. SJ, was 95% farm land. We use to go fishing in the bay for fish and crab.. There were thousands of small crabs all along the shore. There were a lot of deserted building in MT.View that we use to play in. Greyhound buses ran along El Camino up until the late 70s. There was no light rail or Bart. I bought my first house in S.J. about 1977 for 33,000 prices were starting to climb. I bought a house in Cupertino about 1979 for 66,000..... I bought my last house in SJ in 1997 for 225,000 on Renzo court... In 2004 i sold that house for 650,00.... from 2002 to 2005 they went up 100,000 k a year.... I went to Monta Loma elementary school with a soon to become famous person that the whole world now knows. He lived about ten houses away from me, and i do not ever remember meeting him.... I looked up his history one day... Steve Jobs... We lived on Whitney DR in Mountain View. He lived around the corner across the street. I do remember!, going to a kids house named Jobs, but it was a different ST... who knows maybe that was him and he moved to the address that was around the corner... My Dad Died about 1998 and my mother was getting old and sold the hose in Los Altos about 2004 for 1.25 million... That was very high at that time. My mother died in 2010.
It was a great place to grow up in as a boy,,, lots of open land and empty buildings and no traffic and was safe.. I just remembered,,,, there used to be milk trucks thru the 70s,, and a bread truck with donuts in the late 60s..... The minimum wage in aout 1974 was 1.65 per hour....Hard to believe now. Now i am 64 live in WA. house,cars and everything else paid for...... If anyone has any question of how it use to be ask me,,,, it was a good place then...
Some of my best friends moved to Washington! I tried to move there in the late 60's and work for Boeing's but ended in disaster. At that time, the natives hated Californians.
You didn't do this, but nothing annoys me more than somebody your age saying "I worked a summer job at your age and bought my first house, so why can't you?"
That's messed up the way that realtor thinks he's helping sell out his own country and his grandchildren or great grandchildren they'll be living in a tent in the backyard of a Chinese this is so sad
He is greedy...as long as he profits from it!
Who cares who buys it? The government needs to protect locals in those areas
Welcome to a free market system. His job is to sell to highest offer; he has a fiduciary obligation to his client, the seller, to do so. It is petty to hate on him for participating in the same system as everyone else here.
@@jameskresl sound dumb to me its like selling your soul to the devil knowing one day its gona be time to pay up
Real estate agent "Just work harder" so out of touch
As a Realtor myself, I thought that was an arrogant comment. Quite embarrassing to our profession.
@Roughman how is he destroying communities? what a stupid comment. he's merely a broker selling houses to the highest bidder. if you actually want to blame someone, blame the home owner who is choosing to sell to the highest bidder. if you don't think it's unreasonable for the home owner to sell it to whoever pays them the most money, you should stop complaining about the buyers and sellers and start looking at the regulations preventing more housing from being built.
@@candysmith8724 I mean, there are really only two options: 1) we build more housing to increase supply and bring the prices down or 2) people who can't afford the rents / home prices will need to find somewhere more affordable to live. that's kind of how economics work. i think it's not great that he doesn't talk about 1, but he's right about #2. this is the harsh reality unless homeowners are willing to sell their homes to the low bidder....
In britan dont they build massive huge government apartments out of concrete stretching as far as they eye can see. Small 1 or 2 bedroom units that you have to go pay for power at one the bodagas on the bottom. Here's $20 billy go putt some money down on the power. Billy runs down hands clerk the quid buddy askes what unit & loads up more time on the ol power box thing its wild. I saw it in a movie once so its deff legit. Any way why cant we build some shit like that throw some solar panels on the roof ? Ive seen studies that show it cost like $50 000 to set up homelss in houses if we wanted with a social worker. It cost the state like $120 000 in court and ambulances ect to leave them on the street so its way cheeper to hook up the homeless but no one wants to give some one a free place. Why do i have to pay? They get it for free and so on.
That real estate agent is a piece of shit scum bag by saying that
This is just insane. I can't fathom how anyone making a living as a teacher or who work in retail can afford any home in that area.
They can’t even afford a rent let alone owning a house
They can't. They're living in their cars.
I go over there once a week to visit my mother in law. There's a giant line of RVs all along El Camino Real, and down into the neighborhoods. The rich kids who go to Stanford drive through 100s of parked RVs with hard-working, full-time-job holding citizens. I worked in high tech but retired before the worst of it. The place is a permanent traffic jam.
They can't... And this should be a focal point of any discussion about immigration (both legal & illegal). See the homeless problem in CA? That is partly a resultant of unaffordable/unavailable housing. Now... If our own citizens can't afford or haven't an opportunity to purchase private property, they've no stake in America; at least not in the way our framers intended. BIG Tech has NO regard for the bitter little American people, NONE! That's why I don't buy ANY of their sh_t, NONE! Learn to live simple and invest in one another. It's simple... If I ever sell property, it will only be to a Patriot. Globalists HATE America and would sell their mother for a buck. They're hell bent on DESTROYING the American family. Ya see... We no longer have a right to procreate. That's simply not sustainable in the eyes of Silicone Valley elites. Right?
Prob night burglars
My stress levels dropped by at least 1/2 the day I moved away from the Bay Area, the cost of living and the status game was affecting my health. I’m healthy and happy now and I have money to enjoy life now. Unless you have at least seven figures tucked away and no debt, don’t consider a life in the Bay Area.
Sounds like sour grapes talk.
@@animeshdas9842 I think it is real. someone looking at Zillow real estate prices and rental rates online cannot compete is a sour feeling. It’s real in the driving distance of internet companies. San Fran went down recently. Slightly down. This is due to exodus during pandemic changes in employment and the mew zoom room employers.
@@suz7110 the "exodus" was 20 miles lol. Prices went down in SF and exploded in SF suburbs.
It's like the Grapes of Wrath but leaving California instead of going there.
When I visited San Francisco almost every single local commented to me how expensive it was to live there. What the hell is the point of living somewhere just to be strapped? I get wanting to be near family, but something has to give here.
Probably their jobs.
I remember looking at apartments in San Fran in 1999 and we thought it was expensive to pay 1200$ for a one bed and $25 a month for parking.
Those Google techs that he loves so much will replace him soon with an app.
Google would rather help the Chinese army than work for USA army.
This made my day!! 😆😂 I hooe, one day, someone will tell him to just get a better education.
That's what happens when you let communist Democrats run your city, county, and state for decades on end. Every high crime ghetto in America is run by Democrats, and income inequality is dramatically worse in Democrat congressional districts because they spend 100% of their time figuring out new, innovative ways to steal from the public.
☝🏾♥️
right on!!
Translation: The Bay Area's housing market is significantly over-priced. The time of correction is certain. Never over pay for real estate. Never.
You sound like you know the markets. My man...lol.
Terence Steele true they scamming ppl they’re about to crash the market
you need to do your research. The united states has the biggest tech industry in the world which is based right on the door step of the bay. $1.7 trillion for 2020. More ipo's coming and more tech billionaires and millionaires will be coming from all over the world. If you think it's overpriced now wait and see what it looks like in 10 years.
@@leonhenry4861 Where will the people that work at Safeway, Target, Starbucks, etc., live?
Only the people who can't afford it say things like "Its overpriced". The price of anything is whatever someone is willing to pay for it at the time.
I hope the housing market crashes so those Chinese investors will lose all their money
Well monster hope you don’t mean that , At this point we do NEED them to continue buying US debt , so careful what you wish for because we are seeing signs of what you are saying You are hoping
@@brucebeamon5460 Nope I would rather have them lose their money because they are letting houses go to waste if they are not moving in or renting it out. There are many families out there looking for a house to buy or rent but we have these Chinese investors just letting it sit there.
It has no choice but to "reset" and correct itself. It's way over inflated again! People will be "underwater" once the market resets. History always repeats itself, when we refuse to learn from the past. People are just so oblivious to the times we living in. Sad. These are the same people who will be committing suicide in mass when everything goes to shit, because they will have lost everything, trying to live above their means. Debt slaves!
Crash will not hurt them for 2 reasons. 1st, they will not be affected by it because they neither live nor work here.
2nd, I'm certain that they are not desperately selling their property in such time.
@@Monster12255 but they are using them... they rent them out for a shit load of money and that's how they get richer
I grew up in the Bay Area & have lived here all my life; 30+ yrs. I've watched my parent's house sky-rocket to almost $1M in value; it's a standard 3 bd. 1 1/2 bath home. I got into the high tech industry as many of my friends did; those are the bulk of the jobs here. We're all saving as much as we can to purchase property or a home out of state. I've worked for many well known high tech companies & earn a healthy 6-figure salary currently, but live in 200sq ft. to save for my future. I have no intention of moving to Austin as I don't care for the TX culture. Seattle is just as expensive as it is here & their just aren't as many tech companies out there, so I'd have to seriously consider pivoting my career. Most of us can't just up and leave -- our careers are here. The Silicon Valley is a micro-climate.....it's become more & more elitist in mentality & behavior. I don't think international buyers should be allowed to purchase without a hefty fee.
Seriously, look at your own government, all the other investors are simply taking advantage of the system. Honestly, it sucks for everyone. Californians getting priced out and migrating east bringing their politics with them. Then they indirectly drive up housing costs and change the political climate when they migrate to a new area like Austin and other places.
I worked in Silicon Valley, the elitism; especially from H1B visa migrants of all people is ridiculous. We call it a "you first, after me" policy. The culture has sunk to new lows, and as much as I love tech, I left.
Thank you! Stay the fuck out of Texas! Your kind is NOT welcome here!
J. Edgar Boofer Guess I'll move to Texas just to spite you.
Krystal E ya might have to learn to like the Texas culture. Lol
I grew up in Texas and now I live in LA. You're right about Texas culture. Not enough diversity and too much God. I left Texas 12 years ago. I only go to visit family twice a year.
A lot of smug people moving into an earthquake zone.
You know, there's a lot of reasons that the bay area sucks. SJW's, rampant mental illness, the fact that Mexico will retake it within a generation or two. But that is a good point. Its only a matter of time before "the big one" hits and wipes out most of California as we know it.
Exactly, the earthquakes are going to bite all these idiots in the ass who move to shitty California.
You notice the mote in their eyes while ignoring the plank in your own. It is a lucky city on the East or Gulf Coast that did not get damaged by a hurricane since the Loma Prieta quake hit the Bay Area. Oklahoma City, Joplin, MO, Indianapolis, IN and Birmingham, AL learned that tornadoes do indeed level urban areas. We also have blizzards and ice storms that kill a few people and soggy heatwaves that pick off dozens of senior citizens every year. And, waiting in the wings, remains the New Madrid fault zone that rang church bells in Boston and reversed the Mississippi last time it hit...and it's overdue. To this, add lightning strikes, derechoes with 100 mph wind gusts and the odd, thankfully rarer, extended subzero coldsnaps.
California gets wholesale disasters. The rest of ours pay retail. The butcher's bill is probably the same over a human lifetime.
Please name a place that does not have any natural disasters. Far more people are killed by hurricanes, tornadoes, floods, blizzards, etc., in other parts of the country than are killed by earthquakes in California. Plus California has very strict building codes for earthquakes; even the last large one in 1989 caused only 63 casualties. That's about the same as are killed by tornadoes in other parts of the country every single year. Also compare that to ~1,500 killed just by Hurricane Katrina. Natural disaster-wise, California is just as safe or safer than most other states.
Greg Smith like pottery
Not trying to be mean or harsh, just practical...Just get out of Silicon Valley. You lost and you won't change it. We did. We're glad we did. It is a miserable place for the reasons you showed the world in your video.
Pacifica Calif. Linda Mar 3-bed 2 bath family rm 2-car $989,500
@Max Carter sounds like loser talk. People who can't afford to live in Bay area make it sound like they left willingly, but I know people who do that but privately they can't wait to come back.
@@animeshdas9842 What's your damage?
Real Estate agent is an arrogant arse.
Thank you Ms. Joyce for an informative report. I have lived in California since the 70's and I really hate what is happening. My husband and I are leaving the State when he can retire.
Exactly what I thought
we moved to florida!! actually live in a neighborhood where a million dollar home looks like a million dollars now.
That realtor - towards the end - ppl should "just work harder" to stay in the area?! What a callous and outrageous statement!
Denna Jones Yes! What DICK!!!
Fair enough.. It is not about working harder. But working smarter :)
"middle class people.........now my clients are brilliant people with higher IQs" dickhead
What an asshole.. Everyone works hard, but just to have a roof over your head c'mon, there clearly robbing the people of that community!..
He can afford to say that.
A real estate agent only needs a high school diploma to be certified!!
Actually I believe a GED and a license will suffice
and many people with master's degrees make way fucking less than real estate agents
@Ed B ...i don't think you need a high school diploma... all you have to do is take a state real estate test in your own state... if you pass you may sell homes for a broker...i forget how long it is before you can go for your brokers' license... you would have to go to an real estate class(s) to learn state laws and real estate procedures...
@@daVid-zv4ef you can apprentice with a broker in my state
Yes he's quite the douche.
Even the people who have these good paying gigs can barely afford to live in their homes.
Middle class families can not afford homes in Seattle, Portland, Colorado, Austin, or DC suburbs. Those places are what California was in the early 2000s.
Houston and Dallas are still somewhat affordable but those cities are becoming absurd urban sprawls with ridiculous commute times.
If they were to update this video today, it would show that it's gotten even worse. I know that dilapidated house in Palo Alto...it was around 2,200 sq. ft and was bought, completely renovated, put back on the market, and sold for $3.3M in 2017. The communities here are being hollowed out. Stanford University if facing a challenge in recruiting post-docs, graduate students, and medical doctors because the cost of living is so high. Tech affects everything, but it's not the only cause of the crisis...the cities have done virtually nothing on housing for decades due to NIMBYism, and now here we are. Google, Facebook, etc. bus employees to work and feed them while there. Thus, tech workers don't have to pay for their commute to work, or for food while at work...that's extra money they can pay toward rent, driving up housing costs for all. Our school district has trouble recruiting new teachers at the entry-level salaries...where are they going to live? Where do the people who work at Safeway, Trader Joes, Starbucks live? Many are commuting from across the Bay or from places like Gilroy, and their wages need to be bumped up a bit to lure them to make that commute, so not only does housing cost more, but so does everything else because the regular service staff can't afford to live here. Our police, fire fighters, nurses, teachers, even city planners are all barely hanging on or live in other communities and commute. These communities are crumbling. They seem nice, idyllic even, but they are rotting from the core. In a decade, there will be no soul left on the peninsula. Maybe it's already gone.
😢
Its already gone.
It is very strange watching the water drain from a cup and not fill it up when thirst will eventually return. In this case we are talking about love.
Same thing in Australia prices through the roof due to population growth mostly immigration but at this moment in sydney the prices are falling 1000 dollars a week .
Meanwhile there are 52 blocks of homeless in LA. - Greed!💀
You think there are 52 blocks of homeless in LA because of greed?
Exactly! Should send all the homeless people to the areas where all the Chinese investors, and celebrity investors too. 😂😂😂
Its not your rent it the kind of voting your family does at the ballot box. (spoken in your sorry ass tone of voice.)
Law of supply and demand always was and always will be, move on, i lived in Venice california in the 60s, rented a apt for 250 a month, was fun times but nothing stays the same, the last resort by the eagles, 'cause there is no more new frontier, we got to make it here'
The easiest way to build wealth is to stay out of debt, plain and simple.
I grew up in Sunnyvale surrounded by orchards. Dad paid $29,000 for the house. Let that sink in.
19:28”And in the richest country in the world everybody should have a place to live “ i am amazed that even though he’s clearly struggling,he’s still very proud to be american .
This bubble will also burst.
energymaven That's true ... This economy needs to collapse again cuz these house prices are ridiculous.
energymaven yes
Ken has one idea but please remember how he makes his money. Anyone say self-serving? Maybe if he were a real estate broker in Michigan he'd have a different perspective. I say take the money and run to other areas. Leave the bay area without coffee shops, gardeners, maintenance personnel, police officers, bus drivers, deli clerks. Let the techies make their own dinners and wash their own clothes. Stop feeding the machine, find a place where your lifestyle and personal values are supported. Let them have their wasteland in good weather.
David Fricker The only problem with that is Google has all that stuff minus the public safety apparatus.
That’s why they are now making the robots, AI, to replace waiters, gardeners and teachers even.... Hope they live joyfully and indefinitely
David Fricker
If buyers felt worried about coffee shops, gardeners, maintenance personnel, police officers, bus drivers, deli clerks then they would not buy there . Are you saying these buyers are being forced to buy against their will ? This is an example of Capitalism at work is that not what America believes in ?
David Fricker.....Smart guy.......❤️
yeah but David, those of us who grew up here share the same values with the techies. Center-left and center-right. Many moderate liberals, many libertarians. If I go to Arizona or whatever, they're far off to the right. No shared values.
Michelle, I hope you win an award for this video! The same thing is happening in Tampa Bay Florida. There is absolutely no affordable housing. I cannot afford to retire in the area I have lived in and worked in for all my life. I think the 2020 candidates should be talking about this subject instead of focusing so much on Healthcare...so unfair! ☹
Exact same thing here in Gilbert/Chandler AZ!!!! We can't buy ...refuse to buy what is listed for the prices here now!!!! I put money into this rental owned by a Chinese Investor!!!! Replaced all the appliances. She told us she would sell and lied. She harmed the sanity of our family ...no air conditioning...broken pool...never did landscape on contract...broken dishwasher...refrigerator and oven...plumbing issues..mand now my husband hates AZ because they allowed such crime in real-estate.
Left Silicon Valley about 2 months ago! Couldn’t be happier with the decision. Worst place I ever lived in this country (and I lived in a lot of different states)
that real estate agent is a jerk. Higher-income does not denote higher IQ, and you don't need a college degree to make a ton of money.
and he keeps talking, every time he is on screen I want to wring his neck. I know people with college degrees Highly Educated who makes squat. I know people who work their fingers to the bone and struggle. I also know people who do very well in the tech field who are self taught.
You know who else is a "dipshit" uncle sam for "making money off of you" like taxes or mortgage.You know who else is a dipshit THE BANK that earns interest and your lendings.Thats a dipshit.
Why do we allow Chinese investors to buy our land??
Because they have money and this is America so money always talk.America the US of A is a business country.
Natti Dread IT is but when you don't take care of your human capital...then stuff starts decline
Michelle, I'm a Bay Area native, 33 years old and have a bachelor of science in web design and development. I had to move back in with family because I was priced out and can't afford rent for studios or shared spaces even in high crime areas such as Richmond or Oakland. I understand your frustrations and thank you for this video!
you dont have enough education go back to school and make something of yourself,,then you can move back to the bay area and let the realtors screw you
I like the sarcasm haha
that is exactly what we did. We moved to east oakland and recently someone showed up dead in the nearby park. It is definitely one of a few areas in the bay that are still affordable and commute to SF isn't bad but we live with constant stress of living with fear...trade offs
A Ng that is very sad that you have to trade your personal safety for shelter.
Adam Lee my heavens.
Foreigners aren't allowed to buy houses in Denmark. Should probably think about making that a rule in CA
13:05 The reporter says, "You're beautiful enough to be on TV." WOW, what are we teaching young girls with this type of language?!
adaline costa and she finished the sentence with ”i think”.
To be fair, the reporter probably didn't realize what she was saying. If she was taught to think like that it's hard to break the cycle.
She was paying her a compliment relax. If that's the message you got from her powerful documentary, then you need to rewatch it.
I didn't like that either, if she had edited that out it would have been a perfect little documentary. People who don't think that matters just don't see the bigger picture.
At the end of the video, Ken DeLeon said, "I think a person working hard at Google has more of a right to be here than somebody just because their parents were here and they complain they can't afford a home. I would say just work harder, ya know, get more education, um, is my advice to them."
Wow. So Ken, how is it that the hardworking people at Google are working any harder than, say, a teacher with a Master's Degree who teaches full-time, then spends an extra 20 hours a week on lesson planning and grading, plus works a second job to make ends meet? Or a visual effects artist with 10+ years experience and outstanding college degrees, who works 80+ hours a week making feature films? Or how about a Patient Advocate, who has no college degree but worked her way up her career by saving lives and making a real difference in our community? By your logic and public message: none of these people have as much of a RIGHT to live here, because they don't have a high-paying job at a company like Google. I am shocked and extremely disappointed that a financially successful person like you isn't grateful and humble for the LUCK he has had, and that instead, you completely disregard the people who support the system that has contributed so much to success like yours. A community requires much, much more than employees who are lucky enough to fit into huge tech companies. Does the janitor who cleans up after them have no right to live here? How about the cook who makes their lunches? I guess the teachers who teach their children aren't worthy of living near these supposed tech gods, as you seem to think. Your mindset and your message is hurting your own community Ken. I'm friends with people in the types of successful jobs you refer to, and they would be appalled to hear you say such words. You're giving them a bad rep, and making a bad situation even worse by spreading such toxic messaging.
Absolutely! Supply and demand. Sucks balls, but that is just how it is.
janco you are a moron! get fucked!
@wonderland. Given the level of thought that went into your response, it is more likely that you are a moron. Good luck.
janco333 are you seriously going to say that teachers are not needed specially when there's a teacher shortage in California? How do you expect people to get good paying jobs if they can't even get a proper education
I'm guessing that teachers in central London would also find it near impossible to afford a place, whereas an investment banker probably wouldn't. Both are needed, but some jobs command a higher price due to being in shorter supply.
Also, I think how hard someone works is irrelevant. A manual labourer no doubt works long tough hours, but they don't deserve to be paid the same as someone who is highly trained as they don't make their employer as much money.
My wife and I make about $100k combined. This is considered a good income in middle GA. I work for the post office and she works for a government contractor. What in the hell does everyone do for a living out there that they can afford this?
Jeff Stanley
Those working in the Silicon Valley
tech industry, for Google, Apple, Yahoo, etc...These employees are really the only ones able to "afford" living in that crazy inflated market.
Not work for the post office. Nothing wrong with that, but its not exactly a lucrative career path.
SGspecial84 He was trying to make a point...not get belittled.
I'm not belittling anyone. Obvious question, obvious answer. Besides, the quality of life is probably better where he lives.
SGspecial84 True.
Soon CA is going to be the “Capital” and we are all going to have to hunger games our way out.
You mean your way out, I was lucky enough to leave California three years ago and haven't looked back.
I love California. I would never leave. Great weather, great job market, great restaurants, wonderful cultural attractions and fantastic universities. Blessed to live here. I'm sorry it did not work out for you.
Mr. Chopsticks I’m not the only one living in CA, but cool story bro.
West Coast Dude Never said it didn’t work out, just said that the way it’s going not a lot of folks are going to be able to live here.
@@westcoastdude4777 You don't miss what you don't know. I agree California is a nice place to visit for the reasons you said but its a cesspool to live there. Outrageous real estate, taxes, etc. You stress all the time just to pay your normal living expenses if you are an average person. I have the best of both worlds. I would never buy real estate there. I have an RV and I go there and live on the streets for free. Then when I get stressed I leave and stay at my mountain retreat for free. Screw the California politics that's for the rich and pushing out the middle class. Money seem to rule the world including all the politicians. Everyone from all walks of life deserves a chance to live as a human should.
I could not be paid enough to want to live there.
Sounds like sour grapes.
My husband and I just literally lived this. It's heartbreaking. I've cried myself to sleep at night before knowing I'll never live in the place I love again and nor will my husband, where he grew up. Greed is hurting so many people. "Work harder" is an insult to those who have lived this nightmare.
im sorry I wish you guys the best, if someone grows up in a certain area they should be able to afford a home XoXo
I hope you realize that YOU are the only reason YOU are failing. The only person who can control your fate is YOU. Don’t complain if you can’t capitalize off of current trends. If you are so unwilling to educate yourself, you deserve to be in the position you are in. Become the predator, don’t stay as the prey.
work harder or be smart and MOVE AWAY
If your family grew up there, just sell your house and become a millionaire.
Yeah thats like fighting a tank with a stick. Chinese billionaires vs Americans.
This is happening in Vancouver Canada also, and in Australia. It’s happening all over the western world. It’s happening by design.
by design? amazon is killing all the retail businesses around- pretty soon things are going to be really different and nobody will be able to afford the city life
Yes sir it is. And you know by whom.
@Reginald Jones don't worry the Chinese will buy them 6 at time and not do anything with them eventually too.
It's the inherent design of unchecked capitalism. If you meant that, Zac, I agree - and BTW, I feel people should always spell out what they mean.
Its happening in Mumbai too!!! Real Estate price are sky-High. To have a 3bhk see facing apartment in South Mumbai(The most Exclusive Neighborhood in the city), you need at least one million USD. And that's on lower side
Realtor: Prices will just keep going up forever.
Covid 19: Oh hai.
You took the words right out of my mouth lol. Now everyone (well those who can) is working from home. Some people can live anywhere and still do the same work.
@@CJ-ji1pq yep! Opened up so many opportunities to move.
A friend of mine who’s lived in DC moved to Puerto Vallarta a couple of months ago, and he said there’s been a big exodus from DC to Mexico. He wants to buy there, beachfront condos in the resort areas and in Yucatán are really reasonable and he couldn’t afford to buy here.
I watched a video about Americans living in Tulum and a hipster from New York pretended to cringe while he said “I hate to say it but it’s like a tropical Williamsburg.” Lol you know he loved to say that.
@@CJ-ji1pq the sad part is that covid only made the stock of housing even less! so ppl are out here trying to dine and wine these sellers to buy a house above market prices!!! it's insane. This seller's market is making it hard for an average Joe to get anything.
@@ohthatdj :/ sadly the same cycle we're seeing on this video (foreigner investors buying in a new country) would happen to the Mexican natives. They too will get priced out if you bring your American dollars down. there's no true moral way to win this one.
Sadly you are so thick you don't understand that covid made it more competitive and expensive. It's a good thing you can't afford to live around richer people.
This was 2015 and he said they will double in 5-6 years. Lol he was spot on!!!!!
Btw. Some people move to Vegas and commute to San Fran on the plane. You can get a house for 350k here. 1 hour flight.
Are you insane????
And also what is with the "bs" minute 13:10
I want to be in TV the little girl said,
Oh you are beautifilul enought to be in TV, omg, REALLY. BY THIS YOU ARE TELLING US THAT ONLY BEAUTIFUL PEOPLE WILL MAKE IT, TO BE IN TV. IF THAT WERE TRUTH ,WE MAY HAVE TO START GETTING RID OF ALL THOSE NOT ONLY UGLY BUT UNTALENTED TV PERSONALITIES AND NEWS CASTERS THAT WE ARE FORCE TO ENDURE ON A DAILY BASIS JUST TO GET SOME BASIC HAFTH DECENT ENTRETAINING. PLEASE USE YOUR BRAINS WHEN YOU TALK TO CHILDREN YUO ARE VERY MISLEADING "NEWSLADY".
BUT ONE THING IS TRULY CERTAIN, WE DONT NEED A SENSITIVE CHIP IN ORDERTO BE IN TV, YOU ARE THE PERFECT EXANPLE.🙄🙄🙄🙄 GIVE US A BREAK AND EXCUSE MY GRAM, ENGLISH IS MY FITH LENGUAGE.
@James Franko
Your reply is the only one on topic here😂
Irina Serdyukova
Ewww
mmmm crazy! going on a plane everyday?! 0_o...don't think I can do that
Just life b
To all the people saying, "Why don't you move somewhere you can afford?"
Pretty soon you'll have no custodians, no waiters, no grocery store clerks, no garbage men, no firefighters, no police, no teachers, no auto mechanics, no construction workers, none of the people needed in any city.
You need them more than they need you. If you leave, great! Rent goes down for everyone else.
I used to work in Silicon Valley. I'm now a teacher in Texas. After rent and taxes, I'm making more now.
If she's smart, she'd squat in the "ghost home". CA has tons of resources for squatters and it can take a decade to evict someone.
lol eviction happens in weeks and that eviction record will cause her to unable to rent a house to live. She would regret the day she decided to be a squatter.
Animesh Das takes up to 10years in some CA cities
@@cheyenne7982 Which cities?
Animesh Das mainly LA, not sure about SF, but it’s probably similar. In most cases only a pay in 30 or 60 days or quit may be served and then the tenant has only 5 days to respond but the can continue to appeal for sometimes years. These law services are paid for by the city in most cases, leaving only the landlord with a large lawyer bill.
There was an NPR series on it back in like 2018. Wish I could find it
Michelle, your daughter is a gem! "I think everybody should have a home.. even bad people."
People said nothing when they displaced the indigenous off their land, generations later its coming full circle. Our whole societal system of how we are with each other and the laws that keep the system in place needs to be rethought.
Where would all these educated folks be without the "non-educated" folks? Are the "highly educated" folks going to work at all the small local shops, restaurants or fast food? Are they going to work at the local supermarkets & retail stores? Are they going to take jobs as craftsmen, maintenance workers, mechanics or any other position that these "high educated" folks rely on every day? Of course they won't. People that work blue collar, middle-class jobs have a purpose & every right to live there.
Orange Dyna 2014 couldn't agree more.
Honestly I think the "non-educated" people should just piss and shit all over the bay area and not work there at all. I would like to see how the "highly educated" people will get out of their homes when all you see are homeless people and crap everywhere. I think that all manual labor, i.e. cashiers and restaurant workers, plumbers, electricians, etc, should all unionize and charge 200 dollars an hour minimum and if anyone wants a bloody root canal its gonna cost 10000 dollars if your "highly educated" because the "highly educated" gums are a much bigger pain in the ass to deal with.
So there's an underclass. You have it in other societies. Americans thought they were special, that we didn't have an underclass system here. Those jobs will remain, they're going to be filled by people willing to live 8 workers in a 2 bed apartment, or commute for 3 hours each way. Eventually that's going to cause long term social problems, crime for one. All those kids who don't see their parents, or young men who could never have their own families.
Orange Dyna 2014 No. but they are making robots to replace those jobs
Right orange.
I was born and raised in the Bay Area but could not afford to stay there even when I became a nurse. The cost is just too high.
This is so sad. It's happening here in the DC/MD/Northern VA area as well. Our prices have skyrocketed! Pushing locals further out into the suburbs. I'm from DC and never seen anything like. It was affordable in certain parts of MD and N. VA...not anyone. Folks going further south or west of MD. It's ridiculous! This real estate agent is a slice of reality.
You are way too late. We escaped CA 6 years ago. I was born, raised and raised our kids in CA, but we were priced out, and the commutes became unbearable. We saw a rent continue to rise, and knew that when we retired we would not be able to keep up with the prices. CA should do what our state does---charge Double Tax for out-of-state owners.
Judy Luthy Which state?
I’m guessing you moved to Florida? Here foreign buyers pay a tax premium.
I’m a federal employee in Alaska and the wages and yearly salary are the same in the Bay Area. Alaska’s nowhere near as expensive, despite what you might hear. Food and gas more expensive, but you can get a nice small home or condo with 1,500 square feet in or near Anchorage or Fairbanks for $250,000 today, easily!
NIMBYism and development patterns play a huge part. Walkable, mixed-use cities with good public transit are much cheaper to live in, since you don't have to spend hours (and thousands of dollars annually) on commuting. Getting a permit to construct anything is insanely expensive and time-consuming, and many projects are struck down. For instance, in SF, a private affordable housing complex was met with an insane amount of resistance even though it complied with all zoning codes, and in Livermore, people protested to "save the downtown" from a 4-story mixed-use development with below-market-rate units that was going to be built on top of an underused parking lot and one-story building. Permit fees for single-family homes can exceed tens of thousands of dollars, and even government-built housing (which should theoretically be approved much quicker than private development) take years just to get approved and cost hundreds of thousands of dollars a unit. Parking minimums also drive up the cost, as does restrictive euclidean zoning. Adding to the melee are investors, both domestic and foreign, who compete with families. Naturally, if demand is high but supply is severely constrained, prices will skyrocket!
New Zealand recently passed a law banning foreign real estate investment. The US should probably do the same. But you know, "free market" or whatever. This shit makes me so mad. Shouldn't' cost so much to put a roof over your head.
THEY SHOULD HAVE BEEEEN done this! A fucking shame how they play MONOPOLY with the Country. I live in the EASTSIDE version of that ... NEW YORK! Selling out like prostitutes. The WORLD having dreams of lving in NY ...rich come from ALL over ...especially ASIAN! it huts that everyone has a interest HERE!! Love YOUR own home.
Sadly the american way seems to be selling out to the highest bidder regardless of who gets hurt in the process.
Yes you hit the nail on the head.!! Also rent control will help a great deal.🎄
@@alejandraosiakowski4009 Lots more rent control is needed for sure! Sadly CA just voted down a rent control measure on its ballot.
SkyEarthOcean lol think about super PAC cooperations can legally fund infinite amount of money to the Candidate they support
"Reator: I don't think it's going to end, it'll keep rising forever" hahahaha...bubble much. It's gonna crash
uh,NO rising property is a good thing its happening here in texas and its BEAUSE OF GROWTH AND DEMAND AND SHORTAGE OF INVENTORY.Im sorry you morons don't understand this fact.Once inventory fills up prices sky rocket you want to buy when its hot and you might even make a healthy profit when the surrounding home sky rocket after you bought it.
Agreed eventually it'll reach a point the market can no longer bare it and there will be a hard crash.
This happen before in Tokyo in the 1980s.
He says that so you keep buying. Same thing stock analysts do. "DONT touch stock A it's never going up again!" Everyone listens okay we won't touch stock A. Stock A stays undervalued and Wall Street millionaires make a killing. Then on the other side they say "stock B is here to stay no reason to sell they are the leader of their industry no competitor can stop them" while they pull out and leave everyone still holding in the dust.
RIGHT 84JJane‼ that's the main problem with Americans. Their attention-span is way too short; they are very quick to forget recessions& bubbles and what caused them in the first place yet keep repeating the same mind-sets& behaviors that created past bubbles& recessions‼ smdh.
The bubble burst 10 years ago. If California needs to control something, it's the cost of goods instead of use of straws.
California at its best.This is why so many middle income families are leaving area’s like this.
This whole thing is immoral and it's going to blow up in their faces. That bubble will burst.
Caravana Band it’s gn def blow up in the buyers face. The banks will always come out on top.
@@KOLAkola It's blows up on the buyers because the buyers use debt. Don't take out a loan.
@Caravana Band sounds like loser talk. Bitter people who want those houses, but can't afford them, talk like that.
@@animeshdas9842 I don't want overpriced houses. The bubble will burst and if you're smart like me you will swoop in and buy then.
@@caravanaband6211 There is no such thing called as "overpriced". Value of anything is whatever someone is willing to pay at that point of time. Values go up and down all the time but saying something is overpriced implies that values will come down for sure. And thats a just ignorance. No one can tell if value of something will go up or down, otherwise there won't be a any transactions.
I'm not ok with foreign investors buying up all the property why aren't they getting taxed higher?? And why do they get first rights to bid on a property?
lord reyna
The seller of the property decides who they want to sell to , are you saying the Govt should control the real estate market ?
No just bar those from purchasing property in our country, if we can't buy property in their country.
I'm not ok with you not putting yourself in anyone else's shoes. If you were selling your house you'd sell it to the highest bidder, and if they happened to be foreign you wouldn't bat an eye because of money. I'm guessing you don't even own a home so you're really not in a position to say what you'd do.
it's not foreign investors. It's rich Americans. Except in Silicon Valley, making $100k isn't rich, it's middle class. That's what Google pays you to write code, if you just graduated from college yesterday. :) It is the median income here. :)
lord reyna I got a problem with out of state corporations buying up mobile home parks and jacking the rents up as that's what happened to me so I moved my home back to my home state and now people have been moving out also so there is a lot of empty lots and abandoned older homes so what has there greed got them I'd say karma is the return on there money
‘Here here’ to the man who said that houses are for living, not as an investment.
We never get time to live in our house
When you buy a home your investing lol If I buy my home for $200,000 and sell for $300,000 I am making that money, lol your stupid ppl in California are greedy but to say buying a house should not be an investment is really stupid !@ So you just want someone to get there credit in order , pay all there bills, save and buy the home just to resell it to you for nothing lol you must be one of those dumbass liberals who want what others worked and sacrificed for!@ Gthooh your in the real world now and keep those stupid ideas in old California. This will never happen lol yoir just as greedy as the one raising the rents or selling tents !! Greedy on both sides! Keep your socialist ideas in cally !!
Haha I can literally only BARELY afford the tent!😂
Nobody works harder than Ken. It must be time consuming to IQ test the whole world on your own.
What IS affordable housing??? My father told me in the 80s when I was a teen that one day there will not be a middle-class and I'm watching it happen before my very eyes middle class people are now homeless people. Houses that are not worth more than a 150k selling for 300-500k. When is this country ever going to get fed up enough to get all the crooks out of office and out of Wall Street and let fear and just decisions be made regarding housing and the playing field be leveled? When we die and are putting the ground we're all the same no matter if you're rich or poor you still die. My grandmother always told me nobody is better than you meaning we are all equal. It would be nice if the people who made the decisions were in power made normal salaries in weren't so damn out of touch with the rest of us trying to just get by and survive from paycheck to paycheck never being able to have a savings account paying 1300 a month and rent how am I to save for a downpayment for a house? Rent used to be four and five hundred now that's a power bill.
I was a mega commuter. My rent in Burlingame was going up quickly and I soon realized it would outpace my salary. I purchased a house across the bay past Tracey. I commuted for two years, up at 4:00am and not back home until 8:00pm. I was able to work from home one day per week. After owning it for two years I moved to New York near Saratoga Springs right next to Albany. I rented my house out for what my mortgage was plus a couple hundred bucks because I didn’t want to gouge anyone. The first morning I put the advertisement out I received 40 voicemails from people literally begging me to let them rent it. I later sold it for $50K profit without putting a dime into it.
If I hadn’t moved I would have used that money to buy another house closer, eventually I would have been able to buy closer to the Bay Area. I was able to do this only because I had no kids.
I suggest people move, there are many beautiful places to live in our country.
This is nonsense....you're too rational for this outrage-first knee-jerk generation.
Nicole D That's horrible. I did that for 2 weeks in Budapest. I was exhausted! You had no life!
Great short doc! As someone from toronto canada where ( as not extreme) there is a current housing crisis this is a great example of how wild it really can get. I myself am now raising my daughter far from where i grew up as we would never be able to own a home in the downtown core of our city.
Thank you for sharing! Good doc and in Vancouver BC area it is a similar situation. About 18% of houses I've heard are not occupied, purchased by Asian investors who come there and buy expensive property by cash, which screws prices on the market for sure.
Outrageous! In Vancouver BC a international investor must appear in person to buy their home & pay the taxes owed in person & must occupy the house 3 months every year. This is insane that foreigners can legally create havoc on local communities & our govt does nothing to end this. And please don't tell me foreigners have a constitutional right. They don't. We do.
Its what they did here in Ireland after the property bubble burst . Our government invited in global real estate investment companies, hedge funds , cash buyers etc, to reinflate the bubble. Rents and house prices and homelessness has rocketed up. People are struggling. There are people camping in tents along canals and in parks. Its unprecedented. Have never seen anything like it. that it would be possible to see something happening like this in Dublin??. Anywhere were the IMF dump cheap investment bank credit , the tents aren't far behind. pitchforks and petrol bombs may solve it,,, but i'm not sure.
We did the same thing to the Native Indians it seems like it's coming around on us that why I don't complain. We need to remember that when we complain. And no you never personal did it but our founder's did. And karma always comes back around even if it is generations later. All I can suggest is relocating to a cheaper place which I had to do.
Institutional and foreign investment in the residential real estate markets MUST be outlawed. It is ruining the local economies and gutting the human interactions that make a community worthwhile.
You can't blame this solely on foreigners.
Chinese and other foreigners are buying up American farmland…..that is criminal
OMG...Ken's message to the less unfortunate was terrible!!! Work harder??? Wow...a lot of people already do!
Yeah, messed up. He should have said “work smarter.”
Truth!
Von250, He meant just stay at work instead of 18 hour work, thats what he meant by work harder. Total scum bag
von250 yes lol I was so mad when he said that. I hear that crap from almost everyone everyday.
That wasn't his message. His message was to "get more education".
This video has me in tears. I was born in the Bay Area. Raised here. And I now have to relish the rest of the time I have here because I can’t afford to be here any more. This place is all I have ever known. My mom was also forced out of telecommuting even after a surgery that changed her. I HATE and will always RESENT what tech has done to our home
I'm convinced that our version of "money" will be the downfall of this planet. It will literally annihilate us all.
We're starting to see the same thing in Seattle. Foreign investors buying up millions of dollars of single-family homes, and renting them at skyrocketing market rates or leaving them vacant for land use later. We lucked out, but people who have lived here all or most of their lives are find themselves priced out of their first home purchase.
Spare me the "move somewhere else", "you're not entitled" nonsense. Say that after a Chinese investor pays 850K for a house listed at 589K that you wanted to buy for your family
Joseph Userian Foreigners should not be allowed to buy real estate in the United States. You should have to be a citizen to own property. That would solve some problems.
It is getting ridiculous, but at the same time those places she looked at to buy a home were always known as rich areas. San Francisco, Palo Alto, and mountain view were always known as expensive places to purchase homes. If you look at places like San Leandro, San Lorenzo, Antioch and Oakley the houses are selling at 700k and below. You will be like an hour or an hour and a half away from San Jose or San Francisco, so commuting to work is possible.
+Tito Donis Mountain View only became expensive lately. It was known as a shit hole before Google moved in!
Well, not exactly a shit hole, but yeah... You could have said the same thing about Sunnyvale also (or most of San Jose, Milpitas, and other places etc.) Though the cost of living (and especially real estate prices), has gone through the roof lately, this exodus of people (and tech workers) leaving the Bay Area, and moving to the central valley (for instance), or other places, has been going on for decades.
Not true! When my parents moved down the peninsula in the early 50's they bought their first house in Mt. View which was MUCH cheaper than Palo Alto or Los Altos. Downtown Mt. View was run-down and not like it is today. The area was agricultural and the father south you drove the cheaper the prices were. Many of the baby boomer kids from the north Santa Clara County ended up renting apartments in Mt. View after they came back from college in the 70's/80's since they were priced out of houses in the area where they grew up. And the interest rates were sky-high.
+Fang6371 my point is that she was basing the market off the South Bay and San Francisco where for the most part prices were always high and everyone that's lived in the Bay Area for years knows this. Prices in the east bay are running at around $700k which is still very expensive, but a lot lower than what she was looking into buying. You don't have to live in a million dollar home to live in the Bay Area. A lot of us commute 45 plus minutes to get to work to adjust to the expensive rent and housing cost. Even at a $700k mortgage a middle class family would still struggle to pay their house with dual incomes.
Not true. In the 50s, not that long ago, houses in San Jose cost $10 to 20 thousand. Hippies moved in to the Haight and gays into the Castro because rents were super cheap. You have to be a multi-millionaire to move to those places now. The result is a way of life that is the opposite of creative and fulfilling. Life is not work, unless the greedy force this on the rest of us. We need Bernie's Revolution.
That's why Cali is going up in flames 🔥 greed
Please, who could argue that the whole country isn't built & running on greed.
It's certainly greed on the part of the borrowers and lenders. It's going to be a Florida style real estate correction.
They seem to be doing quite well. Not everyone listens to political reatoric. We just enjoy life without politics. New concept for some.
This problem has been going on for at least 30 years. I started work in Sunnyvale in 1988 after earning a Ph.D. in electrical engineering. We rented a home in Fremont (not exactly the primo spot in the Bay Area) and during the first year we lived there, the valuation of the home doubled. My friends at work said that as recently as 1985, a single good salary (technical graduate degree) could have qualified to purchase most any home in Sunnyvale or San Jose. By the time I moved in 1990, I could not have qualified for anything within a 45-minute commute. Moving was my only option then, and I dare say that's what people will have to do who choose not to tolerate these prices. Even in the 1980s, there was mass migration down the peninsula as Hong Kong investors purchased homes in The City whose residents moved a bit further away into towns in San Mateo county or into the South Bay.
Ten years later, I was commuting weekly from my job in Anaheim to San Jose along with a full plane load of others during the tech bubble. The folks I worked with who were buying homes there were spending $500-600k on ~1300 sq. ft. homes built in San Jose in the late 40's or early 50's. And like the lady said in the video, every one of them either were getting help from parents, or they had been in the market for decades at that point.
The market in the Bay Area is dominated by a shortage of land and municipal governments willing to allow foreign ownership of their town's real estate. On top of that, the tax issues due to Prop 13 make it so new buyers are saddled with a disproportionate share of the tax burden in their communities. Unfortunately, we are at the point where it's a fantasy to consider having an average middle-class existence in the Bay Area. Those folks can at least find jobs elsewhere. The lower-middle class and working poor are stuck and will likely find absolutely no relief in the future.
So a person who makes 3k a month say in tampa fl is richer than a person who makes 10k a month in Silicon Valley. It all comes down to how much you got in your pocket at the end of the month.
im in tampa and i moved from cali.. couldnt even afford rent in cali.. own two homes 10 years later in tampa.. best thing i ever did was leave that shit hole cali
seansurfn2 Love stories like yours. Oh so common tale too. When you've lived somewhere your whole life it takes huge guts to make the move, but when there's a real reason it invariably works for the better. It's not just how much you have at the end of the month, it's what you do with it too.
seansurfn2 how’s the weather there though?? 😏
Yep. That's why we move.
247addiction Miserable heat and hurricanes and shit wages . Florida is paradise
Rich people don't seem to realize that they need the lower classes. You may be able to afford a multi-million dollar home but who's going to clean it? Who's going to staff the McDonalds you go to? Who is going to staff the corner store you buy your milk at? If you push all lower income people out, you won't have these things.
AI is COMING.
Fast and furiously.
Pay attention to the futurists who say it's going to be very painful for the lower class when their job is taken over by a robot. The lower class must take education much more seriously or they will be forced out. None of this, I'll screw up and hit drugs and go work for my uncle's cleaning biz. It will be a huge change, and it's inevitable.
Miss Lissa I totally agree with you!!!
Then wages need to rise to entice job seekers
They don't realize that people will NOT take the train 5 hours to do this. I could work at a McDonald's closer to my house.
If push comes to shove there's always that universal basic income thing.
As renters, working one blue collar job and one tech job until I was laid off for a younger worker, we were priced out in 1999. We bought a gigantic double lot house for under 90k in the central valley and commuted for a year back to the Bay Area until we found work for minimum wage here in the Valley. And before you naysay our lifestyle, I have a tech degree and couldn't find work any where. I think it is un-American to sell to foreigners. I think it is just plain human greed to sell for so much.
Only losers talk like "it is un-American to sell to foreigners". Losers always find someone else to blame.
She is right. I was born in '77 and my parents lived in Santa Clara and Fresno. It was all middle-class back then. I can't even imagine trying to go back to my childhood home. She's also right about Californian's displacing Austinites. Even though Austin is expensive, it's not nearly as pricy as NorCal.
@Moon Shine I have family in Mesa and the San Tan and everything is more expensive now. I would not move back to Arizona.
The prices will not go up forever. There will be another decline. My philosophy in life and business has, and always will be “observe the masses and do the opposite.”
+Jason Wheeler It doesn't require a economic degree to know that it's all a cycle. Once the market crashes again I will swoop up more homes.
+Jason Wheeler Lived in SV 25 years. I've seen prices level off a few times, but never significantly decline.
+Jason Wheeler many Googlers can't afford the prices in the bay area or Mountain View etc.. I know because I talk to them. We have the same housing bubble situation in Sydney Australia. The difference there is that we don't have "tech companies" the bubble is being generated by super low interest rates and rich money finding it's way into asset prices not start up's or funding new businesses.
Once rates rise the shit will hit the fan, already in already we've reached our housing price peak and it's starting to crumble right now, many don't know it yet but the shit will hit the fan soon enough... If China continues to weaken economically it will have a big impact on Australia and our economy.
Not sure what the trigger will be for a US correction yet...
+Ha Dang You will be dead before you get that chance. Unless the big one hits and you can "swoop up" houses under the Pacific ocean
+Sitarix Dude, how do you know? Alot of Asians have saved up money, and when they buy houses it's normally all cash, no financing. It's happening alot up here in Washington state. And it's not cheap here too. Up in British Columbia, Canada it's super crazy expensive there.
The Cadbury family in England built houses for their employees. Maybe some American corporations should think about housing their employees as well as offering health care insurance. Apple or Google could easily build good quality, affordable housing around and in the grounds of their vast office complexes. It might also increase employee loyalty if housing came with the job.
the biggest issue with that: when the job ends, your housing ends. People shouldn't be homeless in order to switch jobs.
I was just going to say the same thing, Where I'm from in Sudbury back in the day INCO, (International Nickle) built 100s of homes for their employees, And in Windsor Ontario, Hiram Walker and Ford Motor Company also built a lot of homes for their employees, Google, Apple, FB could damn well afford to build a few high rises apt buildings for their employees if they want them to stay, who wants to go to work there and not have anywhere to live?? One day they will have a hard time finding employees if they can't live in the same city they work in?? Who would want to travel 100 miles one way every day just to go to work, after a while, you will lose these employees as they will be looking for work closer to their homes.
Probably better to allow remote work.
Graham Campbell
You must be young. You'd "owe your soul to the company store". This country is going backwards. It's by design and there's not much you can do about it. Vote better.
Andre Canuck
It's been going on since the early 70s or before. Ppl were commuting from Sacramento to their Bay Area jobs. Work, driving, sleep, the weekends spent cleaning and shopping. Even back then people were renting corners of living rooms in Mountain View apartments or renting 6 bedroom houses in Sunnyvale with 5 other workers. The traffic has been insane for more than 40 years.
You can get a house where i live here in Panama City Beach Fl for 250,000 in a great neighborhood close to the beach. Where i grew up in Alabama you can get a nice house for even cheaper. It's pretty stupid that some of the beat down properties shown in this video were over a million dollars lol. Some of those places didn't even look like they were worth 50k
Great Great documentary! I lived in Dublin over 10 yrs ago. My monthly payment then was $1250.....today I know that number would be tripled! It is horrible that we do not invest in ourselves as a country, we look to outside money to drive the norms of our economy.
Traveled to Vancouver last year and was amazed at the homeless issue there...same exact thing was happening international investors building and more than half of the property especially high rise buildings are sitting empty shells. Sad and should not be a reality...
i’ve never liked realtors... this guy is a prime example of why
This guy is a shitty example of a realtor, there’s an abundance of good ones out there
The funny thing is they never know anything. I went to an open house once and spent 15 minutes explaining to the realtor the difference between a boiler and a furnace and why hot water heat was a better heating method. She was flapping her big eyes at me like i was from the moon. And this is not the first time this has happened. They show you a house and don't know basic things about its construction, utilities, or ANYTHING! Completely useless middleman job, which exists for one reason and one reason only - because people don't feel safe unlocking their houses to just anyone off the street. Accessibility - that's the ONLY useful thing these realtors provide. And some day someone has to call their cards.
comment lmao go off
@@cesarrobledo2583 Thank you! I've been a Realtor my entire career. This guy is embarrassing.
Stop generalizing
What if you are a public servant with an advanced degree, already doing the work that you love? I love how this realtor snubs teachers. This is a guy making a fortune by switching a home from one owner to another. Real meaningful work.
Simon M. he is laughing all the way to the bank... while todays public servants are probably gonna end up on the streets in their old age lol
He also talks like he snorts coke.
The term I once heard for realtors, car salesman, and the like was "the parasitic economy."
Well, it's been 7 years and in 2023, Prices have doubled and keep rising. Let's see what the next few years look like.
It’s happening in Utah too. In 2012 the house we just bought 3500 sq. ft. was in the $400,000. In 2019 now close to a million. My parents 2800 sq ft home in the Bay Area is $1.5 million-A fixer upper. I just wonder how my Gen Z kids will be able to buy a home when they are adults.
That real estate agent needs to shut up!
America is going to have to consider what British Columbia did: foreign buyers pay a serious premium. Otherwise, we are headed for tragic jeopardy.
LaDell Dangerfield BC needs to ban foreign ownership like New Zealand
20 year ban on all Chinese purchases. When they complain remind them no foreigners under any circumstance can own land in China and they should take it up with their government.
Do you know if it's worked for BC?
Why do we allow any foreigners to own property? They should lease it from Americans. That is what other nations do to us
On the Bill Burr Podcast, he talked about having a conversation with a real estate agent, he asked her who's crazy enough to buy the high price condos in NY, she said foreign people like Russians, and don't even live in them. He asked her when the bubble was going to bursts, she tried playing it off, kept asking, she straight up said 2 years.
If I have to move out of the county after high school or college to work here, there's a problem. Who is going to teach at he public schools, work city maintenance, tow your car, repair stuff, etc? When enough people leave, I've got to figure there will be a correction in house values. No one likes to see values go down but the way prices are going up, something will give at some point.
the ones driving prices up. Don't Care. and that is where the problem is.
@@dancarlin5434 of course not. If you and I had the money to move where ever we wanted then we would.
The truth about the inflation is like watching a cat chasing their own tail.
where the hell do grocery clerks and nurses live in this city? o_O
Tom Pasquill with their parents 🤦♂️
Born & raised there most likely , parents own property out right , or they purchased during the last crash. Remember they are Not talking about the slums of San Jose. you can still get something there for under $500,000 . They are talking about Nicer upper class areas. Well I bought a place of rest in San Jose @ the cemetery , back in the 90s , that real estate has gone up too ! lol...
couldn't afford to die if I hadn't purchased it back then.😆
im a barrista stuck with my mom
its shitty
Chinese have bought CA