Real Estate For Sale In Redwood Shores

Real Estate Agent Commission

A big change was made to real estate sales in 2024. Now, a real estate agent has to get a written agreement with a potential buyer before they can tour a home with them. Much of the rationale for…

Do Silicon Valley House Prices Follow A K-Shaped Trend?

Concerns about a K-shaped economy have entered the housing market. An important question is “do Silicon Valley house prices show a K-shaped trend?” The answer could be important to you whether you are a home buyer, a home seller, or a real estate investor.

A K-shaped economy is a trend where wealthy people have greater wealth growth than average or low wealth people have. This may imply that luxury house prices rise faster than average house prices. The question is thus, do they?

Luxury House Prices vs. Average House Prices

A quick look for a K-shaped house price trend can be done by comparing Atherton house prices (luxury houses) to Redwood City house prices (average houses).

Although house prices significantly different in Atherton and Redwood City, the appreciation rates are very close. There is no K-shaped trend.

More house price comparisons posted at https://julianalee.com/blog/silicon-valley-houses-no-k-shaped-trend/ also show that there is no K-shaped trend.