San Francisco, Silicon Valley rents plunge amid downturn • Hacker News Board

Re: San Francisco, Silicon Valley rents plunge amid downturn

#321

Post by dan-robertson » Tue, Jun 02, 2020, 7:58 AM UTC

jedberg wrote: post #280

dan-robertson wrote: post #275

Earlier quoted context omitted.

Not everyone is stuck at home with no income. If I were working in the Bay Area for a company that was still doing ok, and I were already planning to move around now, I would definitely see this as an opportunity to get a good deal on rent by moving. Maybe some other people are thinking this. Or maybe they are thinking that there is no point moving elsewhere in the Bay Area and are moving further out. Though I would…

Up until the new modified shelter in place orders, you couldn't move unless your lease expired or you already had the move planned. Also moving companies were allowed to stay open if they provided their movers with PPE, so many chose to shut down. So for the most part people just couldn't move, even if they wanted to.

But if few people are moving anyway (for reasons above) then it doesn’t matter if there are fewer moving companies because of the above. Obviously some people are moving or the OP wouldn’t have been written

Re: San Francisco, Silicon Valley rents plunge amid downturn

#322

Post by jedberg » Tue, Jun 02, 2020, 8:03 AM UTC

tylerhou wrote: post #310

jedberg wrote: post #278

Earlier quoted context omitted.

I think you just said the same thing I did.

You said that Berkeley would be open, but there is a real possibility that no classes will be held on campus at all.

From my post:

"Berkeley's Chancellor has said that labs will be open with restrictions, but most likely lectures will not."

Re: San Francisco, Silicon Valley rents plunge amid downturn

#323

Post by ksec » Tue, Jun 02, 2020, 11:09 AM UTC

raincom wrote: post #138

jedberg wrote: post #73

This article seems to be based on only a few transactions, as not a lot of people are actually moving right now. I manage a couple of properties in the Bay Area, so I keep a close eye on these things. What I'm seeing is not a drop in rents, but an increase in $0 deposits and many weeks of free rent upon move in (sometimes 6+ weeks). Landlords are very reluctant to lower rents, because with the statewide rent control…

That's the first step, and this has happened many times before. No REIT drops rents; instead, they offer "$0 deposit", "no rent for the first 45 days", etc. Once these tricks are exhausted, rents will drop. The issue is: how long does it take for these tricks to exhaust?

And its the perfect time to build more housing. If those tricks dont exhaust, you can then apply pressure with additional supplies.

Given Housing is now primarily an investment rather than a home for everybody. I would guess most government would likely not pass such proposal.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#324

Post by Snowman66 » Tue, Jun 02, 2020, 2:07 PM UTC

I was thinking about moving to The Villages in San Jose and purchasing a condo there. I know that this blog is about rentals, but would someone like to comment about if I should purchase now or wait and see if there is a price decline. Thank you in advance.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#325

Post by flmlta » Tue, Jun 02, 2020, 2:16 PM UTC

marcell wrote: post #185

hedora wrote: post #55

Earlier quoted context omitted.

We were once evicted from an in-law unit without cause. They wanted the space back for use as a home office. (I suspect that’s extremely common these days) In hindsight, we should have held out for a “make us move” offer. $10K’s is typical for that sort of situation in Berkeley. We’re too nice, and moved without a fight, in return the landlord came up with some BS reason to withhold our security deposit.

Umm... while they can't withhold your security deposit, squatting someone's in-law unit is obviously immoral. It's not your property, if they want it back, you have to move. Holding them hostage for $10k is scummy.

If you don't to give up some of your rights to others over some property, don't rent it out.

California isn't a feudal society, yet.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#326

Post by conanbatt » Tue, Jun 02, 2020, 2:37 PM UTC

jonahbenton wrote: post #232

conanbatt wrote: post #197

Earlier quoted context omitted.

I'm willing to bet you more than a beer that a large share of people under rent-control are high earners.

In NYC, there remain a vanishingly small number of rent controlled apartments, and for every lucky lottery winner there are hundreds/thousands who lose housing/capital/possessions at the mercy of owners. Not to mention the homeless. Don't get me started on the housing "market" and rent control impact on supply/demand. Housing is largely an adversarial game, not a win-win game.

Only if you cannot build. If you can expand units its most definitely a win-win game.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#327

Post by tmpz22 » Tue, Jun 02, 2020, 3:06 PM UTC

ccktlmazeltov wrote: post #299

tmpz22 wrote: post #283

Earlier quoted context omitted.

Tenderloin, I mainly looked in the Russian Hill / Marina / Lower Pac heights areas for private 1 bedroom situations in 2/3 additional roomates. I ended up going for a place in the Presidio. For the most part the opportunities I was seeing were for subleases where a tenant moved out hurriedly, which seems to be VERY common right now. FWIW all private room + 2/3 roomate situations were in the range of $1200 - $1500 vs.…

Weird question, but how is it living in the Tenderloin?

Not weird - though its really just the same as downtown SF: 2-5 days a week you will have some combination of a screaming and manic individual immediately in your walking path, see someone injecting themselves immediately in your vicinity, and nearly (or actually) step in dog/human poop. It by no means is the end of the world but over time it wears you down and desensitizes you to the point of completely ignoring all homeless activity always.

After being here for ~2 years I would not recommend the TL because the cost savings and walking commute to downtown are not enough given alternative choices.

If you need to save money you need to move further away to realize real savings, there are too many hidden fees living in the city.

If you have money you'll want to either live in 0-commute distance i.e. near the embarcadero or in literal downtown, or live in the Marina / Presidio / Anywhere else and have a 15 minute drive in.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#328

Post by tedivm » Tue, Jun 02, 2020, 5:11 PM UTC

kyleee wrote: post #264

regular_person wrote: post #177

Earlier quoted context omitted.

"My landlord hasn't lowered rent, but to incentivize us to stay he replaced our washing machine and upgraded some stuff around the property." So what he should have been doing anyway. Amazing.

Was the washing machine broken before the replacement?

Yes.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#329

Post by marcell » Tue, Jun 02, 2020, 7:04 PM UTC

TheCoelacanth wrote: post #288

marcell wrote: post #185

Earlier quoted context omitted.

Umm... while they can't withhold your security deposit, squatting someone's in-law unit is obviously immoral. It's not your property, if they want it back, you have to move. Holding them hostage for $10k is scummy.

It's not squatting. They are tenants and have rights to the property as well. The landlord can get them out, but has to follow the legal process.

The GP didn’t mention a lease so I assumed it was month to month, in which case the landlord terminated the lease and the renter moves out.

If they had a longer lease, then I’d agree the landlord can’t force them out before the lease ends.

Re: San Francisco, Silicon Valley rents plunge amid downturn

#330

Post by Snowman66 » Tue, Jun 02, 2020, 8:15 PM UTC

Is the purchase price of a home or condo in San Francisco or the San Jose area being effected by the rent downturn? Thank you for any comments about that question.