Thread regarding Qualcomm Inc. layoffs

Just ran the search on monster.com for "electrical engineer". 499 jobs within 20 miles of Palo Alto, CA.

30 jobs within 20 miles of Austin. 51 jobs within 20 miles of San Diego, CA.

So, 10 TIMES as many job openings in Silicon Valley. Plus more if you look on East bay near Oakland/Berkeley and more to north in San Francisco.

Plus more to the south in San Jose. Might be 15 or 20 times as many jobs in Silicon Valley.

I don't think many of you are going to find something in Silly Valley. You'll find something if you are a good software engineer. But if you're looking for RF work or firmware, you won't find too many good things there. And if you're in IT, you probably won't find anything decent there too, since you are a dime a dozen IT worker. You're closer to extinction.

you'll find it just as bad in SV or Austin if not worse.

Great people. Move....And find that wherever you go, and find the same thing. Home prices/rent prices rising faster that your adjusted paycheck, wherever you go.

And for folks that keep trying to rationalize prices will come down... The markets can stay irrational a lot longer than you can stay solvent.

Why would I want to buy a house now or sign a year lease now if I am sure I will be working in Austin or Silicon Valley in a few months??

Also, don't forget that they are running low on land to build on. This is especially true in Silicon Valley, whereas the valley is only so large and everyone wants a decent commute.

Let's think logically about what will really happen. There will be layoffs and renters, especially those without children, will quickly scatter. Renting in San Diego is a tight market just like home sales, so this will provide some much needed inventory and potentially stabilize pricing for a year or two. Let's talk home owners. Some get notifications in September and let's say the average person gets about five months of severance. The people with kids are going to have severance through February and are going to stick it out for their kids through May. Those will working spouses, those that made good financial choices, and those that find new local work will not move at all. Those that have to sell will benefit the San Diego market by freeing up some inventory at the mid-upper end. San Diego needs this segment to soften because it is crushing the move-up market. We need the move-up market to be strong so every Qualcomm engineer selling their home causes 2 or more follow on transactions.

Sounds like 2006. Buy now or get priced out forever.

If you type your bullish post in ALL CAPS then I am certain that the market forces will listen to you and do what you want the market to do. Fool OP.

what a wasted rant. TL;DR

Home prices have come down in san diego before many times

The current prices are not sustainable.

The prices are so high because of low interest rate and availability of free money.

It'd be interesting to see how things turn up.

I am a real estate investor ( owns 3 houses in socal ) and speaking from experience from last 30 years. I have seen a bust once every decade..

Landlords that bought cheap in when the bubble bursted, and cash flow well, why bother selling, when all the indicators are pointing to rising rent prices as home purchases become less obtainable and more millennials stop living with their parents and move out, now that more of them can find jobs.

I guess the truth is, if you arestill a person that sat out owning real estate for so many years and still didn't have a big cash fund windfall from a sudden IPO or RSU vest, you might as well sit it out and rent longer and hope there is a price correction. With how much money you've been throwing away in rent for all these years, you might as well double down and hope your gamble pays off over the next 10 years while you continue to rent...Since for you, it doesn't make sense for you to have thrown 10 years away renting, and then succumb to trying to buy right now. But do prepare for further rent price increases, since apparently, all over CA, there's a supply shortage. That's why all the big builders and REIT groups are heavily building apartment complexes these past few years (haven't you noticed)?

Renters...It sucks to be you!.....

"With lists of the Top 10 cities for fastest-growing rents and home prices, and the Top 30 most expensive cities for renters and home buyers.

Could it be possible that the average American living in a city has actually gotten poorer during the current economic recovery? It may sound crazy, but it’s not — because housing prices have skyrocketed recently while wages have barely budged.

I spent the past week digging deeply into recent changes in the housing costs and incomes for people in the largest cities in the country, and what I found was depressing. Since 2011, it’s gotten less affordable to rent a home in 94% of the nation’s 50 biggest cities, and less affordable to buy a house in 80% of them — even when you factor in wage growth.

And housing has not just gotten less affordable; things have gotten much worse: Averaged across the nation’s 50 biggest cities, since 2011, rent has grown four times faster than incomes, and home prices have shot up more than five times faster than pay.

According to reams of data I crunched from Zillow (for housing prices) and the U.S. government (for wages), here is the overall change in city dwellers’ financial status during the last four years:

Yes, the additional money being spent on rent (nearly $3,200 a year) has single-handedly wiped out the extra $2,200 a year from your beefed-up paycheck since 2011 — and by the time taxes are taken out, many people will see the rent increase amount to double their actual take-home pay bump. And with the average house purchase up $57,600 in four years, most new homebuyers are seeing their mortgage swallow the pay raise they got during that span. The consequences are obvious: many people wound up with less money to spend on everything else, like food, clothes and travel, or had to dip into their savings, or perhaps go into debt. For some, they could no longer afford to pay the rent and had to move to a lousier apartment, or another city. For many, the dream of buying a house was put off.

The problem is considerably worse in several cities, especially, strangely enough, in places where the economy is booming. I’ll get to a breakdown of each of the 50 biggest cities, from New York to Arlington — along with top 10 lists of the cities with the fastest-growing rent and house prices, and top 30 lists of the most expensive places to rent and buy a home— in a bit. But I found no region is immune from this crisis. Here’s a closer look, starting with the place going through the worst mess of all: California.

Yikes. San Francisco (average house: more than $1 million) leads the nation in rent growth (up 64% in four years, to $4,252), cross-Bay Oakland leads in home price surge (up 67%, to $532,400) and San Jose lands in the top 6 in both categories. The Bay Area is a nightmare, and it’s even spreading to nearby Sacramento — a traditionally much cheaper area now 7th in home price growth with home values growing 42 times faster than local wages.

And many other cities aren’t in much better shape, from Texas and the Southwest to the Rocky Mountains and the Pacific Northwest:

These are generally desirable cities, especially for millennials, and each is in the top 10 for either home price or rent growth (or both, in the case of Denver). Austin has seen rent grow 17 times faster than wages. Seattle has “stop the yuppification” signs posted around town as its residents fear becoming the “next San Francisco” for housing costs. Portland, proud of its distinctly weird culture, was recently named by Governing Magazine to be the most gentrified city of the country over the last decade-plus.

Even smaller places that are still on the cheaper side have seen either rent or home prices soar more than 20 percent since 2011 — like Indianapolis, Oklahoma City, Columbus, Nashville, Charlotte, Minneapolis, Mesa, Fort Worth, Arlington, Las Vegas and Fresno.

Lastly, the East Coast — while not in quite as big a hole as many places out west — isn’t exactly in great shape:

These jumps are hard felt in the East because Boston is already the 5th-most expensive city for rent (at $2,520), Washington, D.C. is 6th ($2,514), New York is 10th across all its boroughs ($2,219), and Miami is 11th ($2,045).

On that note, here are the top 10 lists for the cities with the fastest-growing rent and home prices, how much it’ll set you back for average housing in those cities today, and how those soaring costs compare to income growth:

San Diego #6 and #7!!!!