As the world slowly crawls out of this global pandemic and financial downturn, the demand for real estate is surprisingly surging in upscale areas outside of San Francisco. Local agents report demand is skyrocketing in affluent areas around the Bay Area such as Napa, Marin and Carmel, as the well-heeled crowd look to escape the city.
Meanwhile, the market in San Francisco and Alameda County remains well below expectations.
In nearby states, Lake Tahoe is also experiencing a jump in real estate buzz. Who can blame them? The scenario of living away from the city on a serene lake while maintaining a bustling career is appealing for a new generation of young money, now with many tech companies signaling that remote work may be the new norm.
“I’ve never seen the demand higher for Marin County real estate than when COVID-19 hit,”
Sotheby’s Josh Burns told Bloomberg recently, as realtors witness a smashing rise in wealthy buyers exiting San Francisco.
Meanwhile, the rental market in San Francisco has dropped significantly, with rates for apartments dropping by and hitting a three-year low.
Is this chance in the market a short-lived reaction to the pandemic, or a more permanent change? Only the future knows.