Are high housing costs driving you away from the Bay Area?
Before finalizing your decision, make sure that you look up the necessary information on the location you are planning to transfer to to avoid falling into the same expensive environment again.
Several cities are shown by the latest Zillow report to become expensive in a matter of months.
Excluding California, home-buyers will find Austin, Texas to become the least affordable major city in the U.S. by December, the report said.
“By December, even if mortgage rates stay the same moving forward, homebuyers in Austin should be prepared to spend 30.1% of their income on a mortgage — above the 30% housing-burdened threshold,” according to the report.
“The only markets that will be less-affordable than Austin at the end of the year are all in typically pricey California: Riverside, San Diego, Los Angeles, San Jose and San Francisco.”
According to Zillow, Austin, as well as Phoenix, AZ and Charlotte, NC reported the highest net inbound moves in the most months in 2020, in time when the Bay Area exodus rose during the pandemic.
Zillow reported that Austin was a leading destination for locals who left San Francisco during this period.
The increased costs can be explained as people receiving San Francisco salaries transferred out to Austin while doing remote work.
Easing zoning restrictions is being recommended by Zillow to relax the expensive burden from present residents as the increase looms. Also included in the recommendations are to make it easier to establish high-density residences such as condos and townhomes.
Apart from remote workers, entire companies as well are moving out from the Bay Area to the Lone Star State, KRON4 reported.
Last year, Oracle Corp. Has transferred its main office from Redwood City to Austin. A new factory is also being established by Tesla just outside of Austin and its CEO Elon Musk stated he transferred there for proximity purposes.