San Francisco Bay Area Rent/Buy Ratios


By Patrick   Follow   Mon, 22 Mar 2010, 3:09pm   26,426 views   144 comments
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San Francisco Bay Area rent/buy ratios from the housing calcualtor at patrick.net show that housing is still greatly overpriced in most zip codes.

The following average rent vs buy ratios were calculated by considering 97,537 rents and 58,171 asking prices throughout the Bay Area from January to March 2010, comparing properties with the same number of bedrooms and same single-family vs multi-family status. The results generally show that more expensive neighborhoods remain very overpriced, since annual rents are running at 2% or 3% of asking prices for the same size and type of house in the same location. Such low rents are not much more than property tax and maintenance. This means that in wealthy neighborhoods, the use of more than a million dollars in housing capital can be had essentially for free by renters.

Conversely, cheaper Bay Area neighborhoods now show some real bargains for sale, with annual rents running at 9% or 10% of the purchase price. Landlords are buying these places because they are clearly profitable as rentals as long as rents hold up.

A few zip codes such as Menlo Park are split, having both a poorer area and a richer area with very different rent/buy ratios. The average in this case masks large local differences. Zip codes with fewer than 10 rentals for each housing size category were ignored.

The hightest ratio was 14.8%, in Vallejo, making this area the most promising for new house buyers and for landlords. The lowest ratio was 2.1%, in the Berkeley hills neighborhood with zip code 94705, making this real estate the worst deal for buyers in the Bay Area, on average.

City Zip Ratio
Alameda 94501 3.5%
Alamo 94507 3.8%
Albany 94706 4.6%
Antioch 94509 11.6%
Antioch 94531 9.1%
Aptos 95003 3.9%
Belmont 94002 4.0%
Belvedere Tiburon 94920 2.8%
Benicia 94510 4.7%
Berkeley 94702 5.2%
Berkeley 94705 2.1%
Berkeley 94709 4.4%
Berkeley 94710 4.2%
Boulder Creek 95006 5.4%
Brentwood 94513 4.9%
Brisbane 94005 4.3%
Burlingame 94010 3.3%
Campbell 95008 3.5%
Capitola 95010 2.7%
Castro Valley 94546 5.1%
Castro Valley 94552 4.1%
Cloverdale 95425 5.1%
Concord 94518 6.7%
Concord 94519 5.9%
Concord 94520 9.1%
Concord 94521 7.2%
Cupertino 95014 2.9%
Daly City 94014 5.1%
Daly City 94015 5.4%
Danville 94506 3.4%
Danville 94526 3.1%
Dublin 94568 5.4%
El Cerrito 94530 4.0%
El Sobrante 94803 5.9%
Emeryville 94608 5.3%
Fairfax 94930 2.8%
Fairfield 94533 7.8%
Fairfield 94534 4.4%
Fremont 94536 4.5%
Fremont 94538 4.7%
Fremont 94539 3.2%
Fremont 94555 3.9%
Gilroy 95020 3.8%
Greenbrae 94904 5.9%
Half Moon Bay 94019 4.1%
Hayward 94541 6.5%
Hayward 94542 4.4%
Hayward 94544 7.2%
Hayward 94545 5.3%
Healdsburg 95448 3.0%
Hercules 94547 6.2%
Hollister 95023 8.5%
Lafayette 94549 3.5%
Livermore 94550 6.2%
Livermore 94551 4.7%
Los Altos 94022 2.7%
Los Altos 94024 2.7%
Los Gatos 95030 2.4%
Los Gatos 95032 3.4%
Martinez 94553 5.9%
Menlo Park 94025 5.3%
Mill Valley 94941 3.4%
Millbrae 94030 3.2%
Milpitas 95035 4.8%
Morgan Hill 95037 3.7%
Mountain House 95391 5.9%
Mountain View 94040 3.5%
Mountain View 94043 4.7%
Napa 94558 3.6%
Napa 94559 4.6%
Newark 94560 5.3%
Novato 94945 3.1%
Novato 94947 6.0%
Novato 94949 3.6%
Oakland 94601 10.1%
Oakland 94602 4.8%
Oakland 94603 10.6%
Oakland 94605 6.7%
Oakland 94606 6.4%
Oakland 94607 5.2%
Oakland 94609 7.1%
Oakland 94610 5.7%
Oakland 94611 4.8%
Oakland 94612 4.0%
Oakland 94618 3.2%
Oakland 94619 5.9%
Oakland 94621 13.8%
Oakley 94561 7.9%
Pacifica 94044 4.7%
Palo Alto 94301 2.9%
Palo Alto 94303 3.6%
Palo Alto 94306 2.7%
Petaluma 94952 2.2%
Petaluma 94954 3.6%
Pinole 94564 4.0%
Pittsburg 94565 7.4%
Pleasant Hill 94523 5.4%
Pleasanton 94566 4.5%
Pleasanton 94588 5.0%
Redwood City 94061 3.5%
Redwood City 94062 2.7%
Redwood City 94063 6.4%
Redwood City 94065 3.9%
Richmond 94801 12.9%
Richmond 94804 8.4%
Richmond 94805 10.4%
Rodeo 94572 6.6%
Rohnert Park 94928 6.1%
San Anselmo 94960 3.7%
San Bruno 94066 5.0%
San Carlos 94070 3.3%
San Francisco 94102 5.4%
San Francisco 94103 4.4%
San Francisco 94105 6.1%
San Francisco 94107 4.4%
San Francisco 94109 4.5%
San Francisco 94110 3.9%
San Francisco 94112 4.0%
San Francisco 94114 4.2%
San Francisco 94115 4.1%
San Francisco 94116 3.7%
San Francisco 94117 3.9%
San Francisco 94118 3.7%
San Francisco 94121 3.2%
San Francisco 94122 3.6%
San Francisco 94123 3.7%
San Francisco 94124 5.5%
San Francisco 94127 3.1%
San Francisco 94131 4.0%
San Francisco 94133 4.2%
San Francisco 94134 4.5%
San Jose 95110 4.9%
San Jose 95111 9.6%
San Jose 95112 5.2%
San Jose 95116 6.5%
San Jose 95117 3.7%
San Jose 95118 6.5%
San Jose 95121 6.3%
San Jose 95122 6.5%
San Jose 95123 5.8%
San Jose 95124 3.8%
San Jose 95125 3.9%
San Jose 95126 4.0%
San Jose 95127 4.7%
San Jose 95128 4.5%
San Jose 95129 3.3%
San Jose 95130 4.1%
San Jose 95131 4.3%
San Jose 95132 4.6%
San Jose 95134 10.4%
San Jose 95135 4.0%
San Jose 95136 5.2%
San Jose 95138 5.9%
San Jose 95148 4.3%
San Leandro 94577 5.9%
San Leandro 94578 6.8%
San Leandro 94579 5.6%
San Lorenzo 94580 7.1%
San Mateo 94401 4.3%
San Mateo 94402 3.3%
San Mateo 94403 4.1%
San Mateo 94404 4.4%
San Pablo 94806 8.8%
San Rafael 94901 4.0%
San Rafael 94903 4.7%
San Ramon 94583 4.5%
Santa Clara 95050 4.5%
Santa Clara 95051 4.6%
Santa Clara 95054 3.2%
Santa Cruz 95060 3.6%
Santa Cruz 95062 3.1%
Santa Rosa 95401 8.0%
Santa Rosa 95403 4.4%
Santa Rosa 95404 3.1%
Santa Rosa 95405 4.2%
Santa Rosa 95407 6.5%
Santa Rosa 95409 7.6%
Saratoga 95070 2.1%
Sausalito 94965 3.5%
Sebastopol 95472 3.3%
Sonoma 95476 3.1%
South San Francisco 94080 5.1%
Suisun City 94585 8.1%
Sunnyvale 94085 4.4%
Sunnyvale 94086 3.9%
Sunnyvale 94087 3.3%
Sunnyvale 94089 9.1%
Tracy 95376 8.5%
Tracy 95377 7.5%
Union City 94587 6.0%
Vacaville 95687 9.7%
Vacaville 95688 4.5%
Vallejo 94589 14.8%
Vallejo 94590 11.0%
Vallejo 94591 7.5%
Walnut Creek 94595 4.5%
Walnut Creek 94596 5.4%
Walnut Creek 94598 4.7%
Watsonville 95076 3.7%
Windsor 95492 5.4%

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