The city's tech-fueled economy, coupled with its housing inventory crisis, make the area's local economy and housing markets unique, and has caused home values to skyrocket.
Home prices will keep rising as more startups go public or sell shares privately, Bloomberg reports, "Dropbox Inc., the San Francisco-based file-sharing company valued at $10 billion, has filed confidentially for an initial public offering and aims to list in the first half of the year, according to people familiar with the matter. Investors led by SoftBank Group Corp. this month completed an $8 billion purchase of stock from Uber Technologies Inc. shareholders, bringing a flush of money to early investors in the massive startup."
“The scale of the wealth created here and the scale of the technology sector is going to outweigh the effect of the tax plan,” Patrick Carlisle, chief market analyst with Paragon Real Estate Group in San Francisco explained to Bloomberg, adding, “The Bay Area is unique because we have companies that didn’t exist five years ago and that are now the biggest the world. There’s no place on Earth that has a similar dynamic.”
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