patrick.net

lattitude says

I see your point, but I think you're missing what I'm trying to say. As a father you want to give every opportunity to your child. By sending him to a better school in a better neighborhood you're giving him/her the best possible opportunity at success. This doesn't mean becoming president or a rocket scientist, but rather a solid foundation for a prosperous future.

No you are NOT giving him or your family any change of normal stable life, considering many employers are unable and unwilling to bank role your expensive life style. Given the nature of the Global competition inthe Tech market .. and as we painly discovered with the Japanese int the late 80s...... You, I and all of us are at risk of losing our jobs...

such careless, emotional buying is self-destructive FOR ALL in the long run.

http://www.sfgate.com/business/ontherecord/article/ON-THE-RECORD-CARL-GUARDINO-2574540.php#ixzz1v6EFUJaI

Carl Guardino, chief executive of the Silicon Valley Leadership Group (2007)

" Hewlett-Packard and Dell are the top two computer-makers in the world. Corporate headquarters for HP are located in Palo Alto and Dell is in Round Rock, Texas. Obviously, they both have people and facilities around the globe.

In those two communities where their corporate headquarters are and where a lot of research and development takes place, the median resale price for a home in Palo Alto is about $1.6 million. In Round Rock, Texas, it's about $180,000, except the home and property are bigger.

We hear from HP all the time that a huge deterrent to the ability to recruit and retain people anywhere near Silicon Valley is the housing issue. We don't hear that from Dell, which is also a member company, about their operations in Round Rock. It does continue to plague us and we will continue to sound the alarm."

and this is what you get... chances are high it will be more in SFBA than lower home priced states/cities where HP has operations. Many others have already moved their operations elsewhere.

HP Confirms Even More Layoffs By End of 2014

Dec 31, 2013 - Hewlett-Packard will lay off 34,000 employees as part of its years-long restructuring plan under CEO Meg Whitman, the last major downsizing at

APOCALYPSEFUCKisShostikovitch says

anonymous says

My Fellow Americans, Look At Me: Do I Look Like A Corrupt, Vengeful Bully?

Yes. But you need to shave you head and paint a swastika on your face to be taken seriously as a GOP candidate for 2016.

I'm going to piggyback my last comments... It's all supply and demand. The bay area is a powerhouse of wealth for the top 5 to 10%. They want the absolute best for their children so will do whatever it takes to plant their lives in the best locations for schools and commute. Couple that with the education focused Asians (typically wealthy), Chinese investors, prop 13 (limited supply), and the fact that investing in these neighborhoods is blue chip investing through and through. Hence, the outrageous prices. It doesn't matter how much it costs, because if you can afford it, you're looking at all of these facts (momentum) to justify it.

Does it make sense from a dollar standpoint? No! In fact it's ridiculous. Will it come crashing down again at some point? Probably. But that doesn't matter since history proves it always finds a way to go back up again. Just look at the previous crash!

thomaswong.1986 says

lattitude says

The fact that you're arguing that the RE prices in these areas were much lower with similar results is a moot point. These were still better schools even then and comparatively they were pricier areas as well (just not as much as now).

it is THE point of the matter... as was the case decade before as prices were equally lower in Sunnyvale, Palo Alto, Cupertino and other cities.

whats changed.... but irrational heard mentality ...

Agreed on herd mentality... but that's called supply and demand. The nature of the market has made this happen because people CAN afford it!

lattitude says

I'm going to piggyback my last comments... It's all supply and demand. The bay area is a powerhouse of wealth for the top 5 to 10%.

not is ... "WAS"... your baseing that on the late 90s IPO + High Valuations + Stock Options. It was when some companies like Yahoo were trading at $300/share in Q4 1999 someone else wealth and anothers "Cash"... The fool who paid $300 saw his wealth sink to $10/share... Have we forgotten this...

Things have changed since than...

lattitude says

Does it make sense from a dollar standpoint? No! In fact it's ridiculous. Will it come crashing down again at some point? Probably. But that doesn't matter since history proves it always finds a way to go back up again. Just look at the previous crash!

As we already learned by late 80s as jobs vanished.. it will take you out before you see RE prices crash... I wouldnt count on getting back up,
thats more of myth, since global Tech Spending has peaked some 10 years ago...

The only "Next Big Thing" is natural gas deposits which are making families millions/billions
in middle america... Natural Gas and Fracking.. Energy to fuel the next century...!!

All we have here is Facebook and Selfies of our weiners hanging out ...

lattitude says

prop 13 (limited supply),

prop 13 does not constrain supply nor prevent crashes...

as you can see we had a boom in new development across much

of the Bay Area and California in general.

thomaswong.1986 says

No you are NOT giving him or your family any change of normal stable life, considering many employers are unable and unwilling to bank role your expensive life style. Given the nature of the Global competition inthe Tech market .. and as we painly discovered with the Japanese int the late 80s...... You, I and all of us are at risk of losing our jobs...

such careless, emotional buying is self-destructive FOR ALL in the long run.

I don't get what you're trying to prove here? Once again, cherry picking... So you're basically implying that the house prices (thus cost of living) are killing off companies success here in the bay area or in general? Wouldn't you think that by now we'd be seeing more of an effect of this? Last I checked this area seems to be doing alright (even with these house prices). How does one explain that?

The only people getting over today are the lower income and upper income groups. That's because they don't have a middle income job (50-200k/yr) that is taxed to insanity.

Sounds great for people who own rental property in the area!

Christie stayed out of the 2012 election because he knew he didn't have a chance against the re-election of the first black president. However, he doesn't stand a chance against Hilary either. I would not be surprised at all if the voters decided that now that a black president has been elected, we need a woman president. Voters rarely vote on the issues.

The only reason Hilary didn't win in 2012 is that Harry Reid picked Obama as the Democrat's primary candidate. If Obama hadn't won, Hillary would have. And she's up next for the Democratic Party unless something major happens. And no, Benghazi doesn't count.

lattitude says

thomaswong.1986 says

No you are NOT giving him or your family any change of normal stable life, considering many employers are unable and unwilling to bank role your expensive life style. Given the nature of the Global competition inthe Tech market .. and as we painly discovered with the Japanese int the late 80s...... You, I and all of us are at risk of losing our jobs...

such careless, emotional buying is self-destructive FOR ALL in the long run.

I don't get what you're trying to prove here? Once again, cherry picking... So you're basically implying that the house prices (thus cost of living) are killing off companies success here in the bay area or in general? Wouldn't you think that by now we'd be seeing more of an effect of this? Last I checked this area seems to be doing alright (even with these house prices). How does one explain that?

Glad you have picked up on the soft underbelly of Thomas' argument. Its essentially the old Yogi Berra quote: "That place is so crowded - nobody goes there anymore". Goran K noted the same thing last year:

Goran_K says

That's nice Thomas. But if the fleeing of companies was so drastic, why is SV experiencing the exact opposite of Detroit in their housing market?

Thomas couldn't explain it then, and I suspect he cannot explain it now. Still, don't be surprised when he posts the same thing next year too...

thomaswong.1986 says

Carl Guardino, chief executive of the Silicon Valley Leadership Group (2007)

" Hewlett-Packard and Dell are the top two computer-makers in the world. Corporate headquarters for HP are located in Palo Alto and Dell is in Round Rock, Texas. Obviously, they both have people and facilities around the globe.

In those two communities where their corporate headquarters are and where a lot of research and development takes place, the median resale price for a home in Palo Alto is about $1.6 million. In Round Rock, Texas, it's about $180,000, except the home and property are bigger.

We hear from HP all the time that a huge deterrent to the ability to recruit and retain people anywhere near Silicon Valley is the housing issue. We don't hear that from Dell, which is also a member company, about their operations in Round Rock. It does continue to plague us and we will continue to sound the alarm."

This sums up Thomas totally. This is a quote from 2007. Then, he'll give you charts from 2011.

He refuses to understand that the tech industry is about Google, Facebook, Apple, and the rest of the internet companies now. And, that's what is different about now.

Dan8267 says

Christie stayed out of the 2012 election because he knew he didn't have a chance against the re-election of the first black president

Christie barely stands a chance of getting through the primaries. He has way too many "bipartisan" accolades to mollify the rightwing nutjobs.

I don't think they'll Romney-up this time, which will be even more disastrous than he was.

Redfin released the county numbers last Friday. No good news in the Bay Area to report as inventory is tight. The only ray of hope is Contra Costa County which shows inventory up 4.4% (Dec. year to year) and sales down 20.4%. The charts ducky posted show a steeper December drop off this year. One explanation may be that there are fewer distressed properties this time around; the 'rational actors' (non-distressed owners) are more likely to take their properties off the market over the winter holiday season.

How about that Hillary .... You want to be her "friend"? Just give her a $500,000 gold necklace like the King Of Saudi Arabia just did (disclosed by The State Department, per U.S. law).

Think she'll wear it at the inauguration?

The oligarchy is gonna love this chick for President. Yes She Can

"Chris Christie held a press conference today to address the bridge scandal, where he insisted that he is not a bully, and he will sit on anyone who says otherwise.” – Jimmy Fallon

"Chris Christie revealed a couple months ago that he had lap band surgery. They're speculating that he did this because they're thinking he's going to run for president in 2016, and he couldn't unless he lost a lot of weight, and this procedure accomplishes that because it surgically pinches off your stomach so you just can't eat. Because that’s what you want in a president, someone with absolutely no will power, someone who says ‘I can literally not contain myself.’" –Bill Maher

Oh Lord, spare us from Hitlary. Other than her stance on Abortion and Gays, she's a warmongering, hyperinterventionist, anti-whistleblower, secretive Corpratist Scumbag who once sat on the board of Walmart.

Elizabeth Warren in 2016.

thunderlips11 says

Elizabeth Warren in 2016.

Agreed, but that is a pipe dream.

I don't want Hilary president, but it seems inevitable at this point. Maybe if the Democrats offered the Republicans a choice: Hilary or Warren for 8 years. If you hate Hilary more, then drop out of the 2016 and 2020 races.

Dan8267 says

I don't want Hilary president

thunderlips11 says

Oh Lord, spare us from Hitlary

She'll look good compared to President-- What? Rubio? Cruz? Christie? JEB?

WOW! The UNtrustworthy are certainly in control of what information is apparent to the people!

Say hey! This was in the Wall Street Journal on March 30, 1999. Note "... how much it will buy."

Holy cow/interesting/compelling ...!

And where is it up to date??? Right here ... see the first chart shown in this thread.
Recent Dow day is Monday, January 13, 2014 __ Level is 104.2

WOW! It is hideous that this is hidden! Is there any such "Homes, Inflation Adjusted"? Yes! This was in the New York Times on August 27, 2006:

And up to date (by me) is here:
http://patrick.net/?p=1219038&c=999083#comment-999083

WOW! The UNtrustworthy are certainly in control of what information is apparent to the people!

And http://patrick.net/?p=1230886

I can only hope the next president hasn't been heard from yet.

What I find odd, that here we are only 10 months away from running the American limo through the car wash again. And there's not any noise about who's great and who's sucks.
They are all walking on egg shells and potato chips, and hope like hell that the lower they lay low, then the better their chances of getting reelected will be.

In other words, if the current motherfuckers in Washington, on both Democrat and Republican side were to make a big campaign push patting them selves on the backs on how well they've done the last 4 years. Then everyone of them would be replaced by the opposition. Because they will have inspired millions of voters who plan on sitting this next election out.
But if they are put to the task to reelect the current no good sons of bitches they will put their bongs and bags of Doritos down long enough to make damn sure that doesn't happen.

I can't think of a single person I'd vote for for President, because not one of them has promised to euthanize and eat Congress.

Since 1928, every winning GOP ticket ('52, '56, '68, '72, '80, '84, '88, '00, '04, '08) has had someone named Richard Nixon or George Bush on it. Before that, Americans voted Roosevelts into office 5 times!

Now the Democrats may ask us to put the Clintons in the White House two more times, and Jeb Bush makes every shortlist of viable 2016 nominees.

Fuck that shit!

I can't believe that the pool of possible presidents isn't deeper than this.

Americans need to learn to vote on some basis besides name recognition.

Call it Crazy says

Hmmm..... That's funny...., Check out the approval rating he has in the "blue" state of NJ...

That's the point. He's more popular in blue states than red states. And folks like that don't win primaries.

How's he polling in South Carolina??

APOCALYPSEFUCKisShostikovitch says

all of our acumen, influence and politesse

You serve up the politesse.

The part about the military they love is The Military Industrial Complex.

Wonder if they are considering a new motto: DIE in COMBAT!

Lets see - Democrats control 2/3 of the Federal Government (Senate and Presidency) but this is all Republican's fault?

Pretty sad that the ONLY cuts they can find in our big bloated government are benefits to our veterans - some who served 3 to 6 tours overseas while all the politicians, staffers and lobbyists in DC have seen their fortunes dramatically rise under Obama.

I think Republicans are terrified that Obama will shut down the government again knowing the media will blame it all on Republicans.

thomaswong.1986 says

I spent my early life in the so called better schools ... Fremont High grad...

The people that are buying for schools are not buying Fremont High.

thomaswong.1986 says

no one know where your next job will be or if your employer will move to the other side of the county... I worked all over so no point picking and chosing...

That's true, one may switch jobs or the company might move. Someone living in Cupertino will be pretty much ok if the commute to North SJ becomes a commute to Menlo Park. Someone living in Silver Creek may find the commute to North SJ ok, but, Menlo Park would be too far. There's a few tech companies in Edenvale, but, hardly any south of Silver Creek.

In your next comment you note that your daily commute is LG to North SJ via 17/880 or San Tomas. Yes, that's not a bad commute. So you can see why someone might choose LG over SC.

JFP says

This sums up Thomas totally. This is a quote from 2007. Then, he'll give you charts from 2011.

2007 or 2011.. the principle is the same since mid 80s... high costs housing is a job killer for Silicon Valley (deflationary industies) ... why else did you see Japanese snatch a good chunk of our global business. It was true 20 years ago, today and 20 years into the future...

jazz music says

new paradigms

no one believes in that...

jazz music says

1.) Inventories remain at extreme lows.

Laughable since much of the inventory is unlisted.. Pocket Listings.. up to 25% are unlisted in No California (SFBA) Search for it...

California Association Warns About 'Pocket Listings' | Realtor ...
realtormag.realtor.org › News & Commentary › Daily News‎
Jun 27, 2013 - ... are reportedly pocket listings in some Northern California markets, and ... warning sellers about pocket listings,” Inman News (June 25, 2013).

California Realtors warning sellers about pocket listings | Inman News
www.inman.com/.../25/california-realtors-warning-sellers-about-pocket-l...‎
Jun 25, 2013 - Study finds pocket listings accounting for 1 in 4 sales in some Northern California markets.

jazz music says

2.) ARM, interest only and other loans risky loans enable people who can't afford the houses to buy them once again.

Irrational exuberance needs no ARMS.. so where were the ARMs during the 1986-1990 boom and then bust?

jazz music says

Big financial entities are now the mothers of all slumlords. Granted that was more prevalent in lower end SFR markets.

Not their thing... and will not last.

jazz music says

http://ochousingnews.com/troubling-evidence-new-coastal-california-housing-bubble/

Not the first time we saw a bust, wonder if they will remember the last one as well or repeat being in denial.

SiO2 says

In your next comment you note that your daily commute is LG to North SJ via 17/880 or San Tomas. Yes, that's not a bad commute. So you can see why someone might choose LG over SC.

over my 30 years.. its been all over the place. some consultants I know, commute to SF, East Bay and Santa Clara all in a weekly basis. So 'idea' of having a short commute is alien for some ...

lattitude says

I don't get what you're trying to prove here? Once again, cherry picking... So you're basically implying that the house prices (thus cost of living) are killing off companies success here in the bay area or in general? Wouldn't you think that by now we'd be seeing more of an effect of this? Last I checked this area seems to be doing alright (even with these house prices). How does one explain that?

Go ask a local CFO/CEO ! why do we have so many Tech workers outside of SFBA... cheaper, and frankly you dont need to next the mothership...

sorry if your engineer and think its your right to live here, but you work on long term projects which have nothing to do with operations... You do understand what Operations means... "money making"...

JFP says

He refuses to understand that the tech industry is about Google, Facebook, Apple, and the rest of the internet companies now. And, that's what is different about now.

advertising isnt Tech... as such, dont hold your breath, real tech are products that are essential and needed for any mission critical enterprise.

advertising is more akin to discretionary expenditure...

thomaswong.1986 says

Laughable since much of the inventory is unlisted.. Pocket Listings.. up to 25% are unlisted in No California (SFBA) Search for it...

I did.

MLSListings Inc. is the MLS service for Santa Clara, San Mateo, Santa Cruz, Monterey and San Benito counties. It estimates that the percentage of homes sold in its territory that never hit the MLS rose from 12 percent in 2011 to 15 percent last year, and grew to 26 percent in the first quarter of this year. (2013)

In the first quarter, 14 percent of properties in the South Bay MLS went from active to closed in five days or less, said Jim Harrison, president and CEO of MLSListings, “which means they were probably sold before they were put into the MLS.”

http://blog.sfgate.com/pender/2013/08/19/pocket-listings-grow-as-more-sellers-keep-homes-off-mls/

jazz music says

You don't think money can be hidden.

thomas finance is your area not mine, but instead of opening a bank account per se you invest in a corporation. A "shell corporation." More accurately a shell corporation broker/service network as typically found on remote elite island countries and some other places too.

a corporation is a approved legal right to exist within a jurisdiction. So how can you hide a corporation which is known to the nation it operates. You just dont walk across any border and then prop a corporation. Once you apply and get approval, your now taxed and audited...

jazz music says

They have board of director meetings and take care of all the fuss for you and "invest" the money in networks of shell corporations so that if you go to Belize or Grenada or Bermuda or Belgium or Switzerland or on and on and win a court judgement in that country, you will find out that the assets are actually held by a different shell corporation

Delaware... why are the majority of US/foreign companies registered as
DE companies... are they all Shell Companies ?

jazz music says

Here is one example MAYBE from USA today, (it looks like it)

http://usatoday30.usatoday.com/money/companies/regulation/2007-02-23-tax-havens-usat_x.htm

There will be huckersters and criminals... how big was the Italian Mafia ...