Real Estate is Local: Steamboat is Warm – Silicon Valley is Red Hot
With the IPO of Facebook looming, the already booming Silicon Valley is heating up once again. Jobs have a major impact on real estate values. And the Bay area has been doing well with employment. Now, those that work at Facebook will soon be able to buy a lot more real estate then a year ago. So much more that local Silicon Valley realtors feel this Facebook IPO will have a effect on real estate prices.
Real estate is local and as the Case-Shiller reports keep coming up showing real estate value decreasing, real estate is local and if your area is special, or the job market is thriving, or Facebook is about to go public, real estate values rise.
In 2011, Steamboat Springs, Colorado saw 591 real estate transaction for single family homes, townhouses, and condo. In 2010, there were 485 transaction in Steamboat Springs real estate. So while Silicon Valley is red hot and real estate values are rising, real estate values in Steamboat are just luke warm. But they are not as cold as the weather today. We are heating up. Absorption rates are getting better and inventories are shrinking. I’ll take a warm real estate market any day.