After big technology companies delayed returning to work, and most of their employees were able to work remotely during the year, many began recalculating the cost of living near their offices. The Bay Area is the most expensive place in the United States to rent and has been facing housing affordability problems for years.
According to Data from Bloomberg, the ratio of new unit homes to new jobs in the Bay Area was 1 to 5.4 from 2011 to 2017. The median house price is more than $600,000, more than double the national level.
Most of Silicon Valley’s employees are renting, which means they can move at any time. Both Google and Facebook recently announced that most employees do not need to work in the office during the year, while Twitter has further announced that employees can work from home for long periods of time.
Parents with children now realize that their salaries can afford to buy larger homes outside Silicon Valley, and have a lot of options, with Google and Facebook engineers both earning six-figure salaries.