Housing Madness: 57% of Homes in This U.S. City are Worth $1M+

There is no shortage of Bay Area housing anecdotes floating around. Whether it’s the tale of billboards that advertise new homes in San Francisco starting at “only” $1 million dollars, or a Google employee who must move into a 128-square-foot truck in the company’s parking lot to effectively save money, these unusual stories make it clear that the housing market in the Bay Area is bordering on insanity.

However, if you want more quantitative proof of the housing bubble that is plaguing the Bay Area, this map should do it. Using data from the real estate website Trulia, this animation plots the number of million dollar homes in the Bay Area.

Courtesy of: Visual Capitalist

 

In 2012, just under 20% of homes in San Francisco were worth over $1 million. Today, over 57% of homes have hit the mark, meaning that the majority of homes are now selling for over seven figures.While San Francisco gets the majority of the attention for its housing prices, the situation is actually much wider in scope. San Jose and Oakland have seen the percentage of such houses increase to 46.3% and 19.7% respectively. Meanwhile, in Southern California, the number of $1 million houses have doubled in both San Diego and Los Angeles over the last four years.

Million Dollar Housing Markets in the U.S.

City $1MM homes (2012) $1MM homes (2016) Percentage point change
San Francisco, CA 19.6% 57.4% +37.8%
San Jose, CA 17.4% 46.3% +28.9%
Oakland, CA 5.2% 19.7% +14.5%
Orange County, CA 7.1% 16.1% +8.9%
Los Angeles, CA 8.0% 16.3% +8.3%
Honolulu, HI 8.1% 15.4% +7.3%
San Diego, CA 5.4% 10.7% +5.2%
New York, NY 7.0% 12.0% +4.9%
Ventura County, CA 4.3% 9.0% +4.6%
Seattle, WA 2.5% 7.0% +4.5%

Data courtesy of: Trulia

Looking at individual neighborhoods, the numbers get even more intense. In Westwood Park in San Francisco, for example, only 2.9% of homes were worth over a million dollars in 2012. Today, 96.0% of houses there hit the mark, leaving only a few pockets that have some element of affordability.

Just south of the San Francisco airport is the neighborhood of Nineteenth Avenue in San Mateo. There, not a single house can be found for under $1 million. This wasn’t the case in 2012, when only about 10% of houses were in seven digit territory.

Interested in buying in San Francisco yet?

Here’s a final comparison to show what you could own with a cool million:

San Francisco vs. Louisville, Kentucky

 

 

9
Leave a Reply

avatar
  Subscribe  
Notify of
Wip
Wip

BORDERING on insanity?

TC
TC

Where’s the inflation, Janet?

RiNS

The only thing that is going to fix this bubble is a good earthquake…

Suzanna
Suzanna

I would hate having a mortgage on one of those homes
when the market reverts to true value.

bb

I got a friend that works at FedEx and lives in Los Angeles. His dad bought a new house in 1965 for 18000 thousand dollars . Three bedroom ,two bath brick ranch style house. His mom just had it apprised last year. It’s value according to the appraiser.475000 .The lot of land is not much bigger than the house. I have been inside this house several times . It’s nice but not worth that much money.

To me this is a modest house in a nice lower to middle class neighborhood.I don’t know how young people just out of college can afford to live in Los Angeles.

NickelthroweR
NickelthroweR

Greetings,

I live in this bubble and I can tell you that it is a real Tale of Two Cities kind of experience. Housing here is simply unaffordable and I’ve watched most of my friends pick up and move away as my friends tend to be self employed craftsmen and can take their skillset anywhere. About the least amount of money you can earn and still live in a small crappy apartment is $25/hr. If you make that then you can have an apartment and a car. If you make less than that then you must start piling up room mates to make it work.

This bubble has really damaged our community as the only people that can afford to live here are the vulture class and trust fund babies. It punishes the small mom & pop businesses that cater to the tourists as it is nearly impossible to find people that will work for anything less than a living wage and a living wage here is ridiculous. About half of the stores have help wanted signs in their windows.

Apart from that, the parks, boardwalk and sidewalks are full of the zombie homeless – they are everywhere.

ASIG
ASIG

Don’t overlook the fact that on any of those 1M+ homes you’re going to be paying north of $1000 a month just for property taxes.

Aquapura
Aquapura

Here in flyover country we aren’t as insane as left or east coasters but being in a major metro our housing prices have “rebounded” from 2006. Many friends have sold their starter homes for healthy profits. Why a house that has only been lived in for the past decade or less is worth 40, 50 60% more is beyond me. Meanwhile anything modest not in the ghetto is going for $200k+, which isn’t really realistic for a millennial saddled with student debt and part time work at Starbucks.

Have several colleagues that talk about selling out, taking their $500K+ on a house they paid half that for 20 years ago and moving to places like KY or TN and retiring early and on the cheap. They all show me the Trulia listings and say “I could live here.” Can’t say I’m far behind them.

marty
marty

Need a good 8.0 on the richter scale to take care of this libtard , leftist , homo paradise .

Discover more from The Burning Platform

Subscribe now to keep reading and get access to the full archive.

Continue reading