Does anyone know how the layoffs will affect the housing market in Silicon Valley?
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Almost all companies are hiring at a rapid pace in SV. A lot have paid off the mortgage. Asians still buying here.
Are you expecting Silicon Valley to be the new Detroit after car manufacturing stopped there?
This is just a blip for Silicon Valley. The fact is, our unemployment is close to zero (in the technical space), so the surplus of folks from HP with be absorbed quickly. Also, keep in mind that only a fraction of layoffs will come from the Bay Area, I think other parts of the country will be havily hit. Finally, most folks in the bay area are well paid, probably sitting on a singificant pile of saved cash, they can certainly survive without work for many months. Long story short, I think that there will be no impact on housing in SV as it relates to HP layoffs. You should ask yourself a question about how IPOs and hundreds of people that will get millions or 100s of 1000s in IPOs will affect the market (Adesto, PointClick Home, etc.) - they have a ton of cash to burn and will be bidding the prices up.