A home tracking forum has just dubbed San Jose the least affordable city in the world.
Silicon Valley’s housing prices have become almost as famous as its tech industry; when real estate agent Lynside Gridley was not surprised when she learned that San Jose was just named the least affordable city in the world by home tracker Remitly.
“Because we have a shortage of housing for the number of people that are here, and then we have a large discrepancy of wages,” she said.
But how did we get there? A combination of that housing shortage, mixed with tech companies providing their workers with very high salaries and stock options, giving them the ability to buy homes in the area.
“Because we have some people with high incomes, they’re the ones that can buy the properties that are available,” Gridley said.
But for those who do not have a high income, Kelly Batson with the United Way Bay Area says, “There’s just not enough affordable units.”
According to the United Way, it’s hard even those who ‘do’ earn a good salary.
“And honestly, I think it’s become unaffordable for people with higher incomes as well, because it takes a lot to live here and feel like you’re able to do enough for your family,” Batson said.
San Jose is not the only city on the unaffordable list; San Francisco, San Diego, Los Angeles, and Long Beach are also in the top ten.
