Lyft’s blockbuster IPO is bad news for San Francisco home buyers
Ride-sharing service Uber’s initial public offering is expected to attract high demand from investors. And experts say that could have major implications for home buyers and owners in the San Francisco Bay Area.
For residents of the San Francisco Bay Area and its surrounding communities already swimming in money from Silicon Valley millionaires, these IPOs could make it even more difficult to find a home at an affordable price, especially if these companies’ employees are among their neighbors, according to a recent report by real-estate website Zillow ZG, +0.91% Every 10 Facebook employees living in a given U.S. Census tract at the time of the IPO were associated with an extra 1.
These reports come as Bay Area tech leaders including Facebook FB, +0.90% Chief Executive Mark Zuckerberg and other companies and philanthropists have said they plan to address the housing crisis by raising $500 million to build 8,000 homes, the Wall Street Journal reported. That announcement came just weeks after California Gov. Gavin Newsom asked the private sector to do more to address the home shortage.
Others say that 2019’s IPO boom in Silicon Valley isn’t guaranteed to boost home prices across the San Francisco Bay Area. For starters, the vast amount of wealth generated by these stock offerings will go to investors and not employees. “The estimated value of the companies going public sums up to about $200 billion, and their combined San Francisco workforce probably ranges somewhere from 10,000 to 15,000,” Issi Romem, chief economist at real-estate website Trulia, writes. “But does that mean 15,000 new home buyers will descend on the City of San Francisco in 2019 and spend $200 billion on homes? Certainly not.”
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Will the IPO Boom Blow Up San Francisco’s Housing Market?A rush of anticipated public offerings from tech unicorns like Uber and Airbnb could have a major impact on what is already one of the country’s priciest cities
Baca lebih lajut »
Nick Bosa stopped his pro-Trump tweets because ‘I might end up in San Francisco’The former Ohio State defensive end is expected to be a top pick in the NFL draft.
Baca lebih lajut »
Warriors will soon play in San Francisco, but they’re not abandoning OaklandThe Golden State Warriors are one playoff run from their move to San Francisco, but the club will maintain its connection to Oakland.
Baca lebih lajut »
Man in MAGA hat arrested after bizarre San Francisco sword attackOfficers arrested a man who slashed another man with a sword after the victim allegedly knocked his 'Make America Great Again' hat from his head, San Francisco police said. - NBCOUT
Baca lebih lajut »
A San Francisco Spec Home Sells for $27 MillionOn one of the most exclusive corners of the city’s Pacific Heights neighborhood, the property was once owned by Vanessa and William Getty.
Baca lebih lajut »
In San Francisco Bay, the Alcatraz tour is adding Angel Island as a second stopVisitors to Alcatraz Island this spring and summer can extend their journey by adding a tour to another island in San Francisco Bay.
Baca lebih lajut »
Uber driver burglarized home after dropping couple off at San Francisco airport, police sayWhen he was arrested, Uber driver Jackie Gordon Willson, 38, was wearing the same clothes he was wearing in surveillance video the day before as he burglarized the home.
Baca lebih lajut »