I moved to silicon valley from Texas in 2002. Various cost of living calculators on the internet said I'd need to make approximately twice as much to live out here. At the time I thought it must have been an overestimate. Now I think it was an underestimate.
These were actual listings on the internet on January 16, 2004. These are typical prices here, not freak examples.
|Here's what $410,000 buys you in silicon valley - a small townhome (no, not the complex, one unit!) in Santa Clara, 2 bed 2.5 bath, 1,161 sq ft, 6 years old. No lot or yard. You'll get to pay a homeowners fee. Only 1 mile from San Jose airport, so noise might be a problem here.|
|What? you think you deserve more than a townhome for 400 grand? OK how about this dream home: Sunnyvale, CA. $415,000, 2 bed, 1 bath, 790 sq ft. 61 years old.|
You want to pay less than $400,000 for a house in Silicon Valley? HAHAHAHAHAHAHAHA. Good luck.
By contrast, let's see what you could get for that price in a more sane area of the country. I'm from Texas. Here's what $405,000 buys you in the Woodlands, TX - a very nice suburb near Houston. This house is 4 bed, 3.5 bath, 3647 sq ft with pool and hot tub. Lot is 12910 sq. ft., 11 years old. This is cheaper than both of the above. Where would you rather live?
So basically, I'm renting...