“Can I buy the same home in Silicon Valley?”
I am frequently contacted by extremely bright, successful engineers or high tech professionals who are in large homes on large lots with great schools in less expensive areas of the country, or ocasionally outsisde of the country. They want to move here because Silicon Valley is the hub of innovation, a center for jobs in high-tech, our weather’s great, crime’s low, and there’s so much to do in this region. The housing costs here are extraordinarily high here, but often these professionals hope that the salaries are commensurately high such that they can replicate the home and lifestyle they are accustom to elsewhere, but in Silicon Valley. It doesn’t work that way.
Unless you’re relocating here from New York, Tokyo, or Paris (or somewhere equally astronomically priced), don’t expect the salary offered in Silicon Valley will to go as far here as it would elsewhere in the world. I’m sorry.
Relocation & Silicon Valley: Downgrade to Upgrade
Downgrade the House, Upgrade the Price…
Most relocating homeowners can expect a home downgrade and a higher price compared to what they are leaving behind. Yes, incomes are a little higher but not nearly enough to match the discrepancy in real estate prices. This is even more true with the astronomical acceleration of the market that we’ve seen in 2021 and in early 2022. Even without a wild seller’s market I tell people, as a rule of thumb, that when you move here you will pay twice as much and get half as much. (While salaries might be a little higher, they are not usually double what you’d make elsewhere.)
Sometimes I get the comment: “I don’t want to move to Silicon Valley and have my family’s lifestyle negatively impacted by having to live in a smaller house. I want the quality of life to go up, not down!”
That is completely understandable. People who move here don’t do it because of the housing. They do it for the location and the style of living that this area offers.
… to Upgrade the Location and Lifestyle!
We have the Pacific Ocean an hour or less away, San Francisco an hour away, dozens of wineries, theatre, museums, professional sports (go Sharks!), and world-reknown parks and trails. Shoveling snow? Never! San Jose enjoys 300 sunny days a year on average. If you love to be outdoors, you can make the most of it all year long here where the weather is subtropical. Our population is highly diverse and highly educated, crime is low, not to mention it’s the center of the global tech industry! There are a thousand reasons why the South Bay is probably a major upgrade… but it’s not an upgrade if you equivocate your house with your lifestyle.
So if you are considering a move to Silicon Valley, expect to pay more, get less home, and move into an amazing community in a beautiful pocket of the world.
Related Reading from this and my other blogs:
Market Reports for Three Silicon Valley Counties
What can you buy for $1 million in Silicon Valley?
Comparing cost of housing in West Valley communities from Palo Alto to Los Gatos to Blossom Valley: what will a 4 bedroom home cost?
Every area has its linguistic quirks or slang, and the San Jose – Silicon Valley – Santa Clara County region is no exception. Some of it is in the words we use, some of it’s the way we pronounce things, and some of it is just the way we think. If you relocate to the South Bay, you may want to know what some of these mean!
The Hill – refers to the Santa Cruz Mountains. Going “over the hill” means going to Scotts Valley, Santa Cruz, or somewhere along the coast.p>
The City – means San Francisco, even though it’s smaller in population than San Jose.
South County – areas such as Gilroy, Morgan Hill, San Martin and Coyote Valley (and outlying areas)
The Bay – is the San Francisco Bay, not the Monterey Bay.
The Airplane Park – this is Oak Meadow Park in the Town of Los Gatos
Read the rest of the post on the Valley of Heart’s Delight blog post, Silicon Valley Local-Speak: A Guide to Understanding Folks in the South Bay
The Silicon Valley and San Jose areas are seeing a resurgence in the popularity of “urban living” neighborhoods. If you are looking to rent or buy a home in one of these areas, you may wonder where you can find them.
For those not familiar with the “urban living” name, it refers to areas where homes and shops are close together, so that residents are not so dependent upon cars. Some sites refer to them as “walk to town,” though that phrase is used less now to be inclusive of non-ambulatory citizens.
Here’s a quick list of areas to consider if you want the urban living experience:
(1) Downtown San Jose
In the downtown district of San Jose, you will find both new high rise condos (several were built all at once), ranging from nice to extremely upscale & elegant. Additionally, there are some neighborhood in or near downtown with houses full of character and architectural charm as they were built in about the 1920s. Once such neighborhood is Japan Town, where many of the homes are Spanish or Mediterranean style, and there’s a little “downtown” area (apart from the more congested, sky scraper area) with wonderful shops and restaurants. San Jose’s Japantown, by the way, is one of only 3 in the country – all of which are in California. The others are in Los Angeles and San Francisco.
Read more about San Jose’s Japantown in my blog through the link.
Find my San Jose Real Estate Market Update through the link.
(2) The Willow Glen area of San Jose
Willow Glen was once its own town but has been incorporated with San Jose for nearly a hundred years. Downtown Willow Glen is found along Lincoln Avenue between Bird and Minnesota. The area is old (some homes are Victorian and date back to the late 1800s) and many of the houses there are from the early part of the 20th century. There are some newer places, though, including apartments, condos and townhouses.
Find my Willow Glen Real Estate Market Update through the link.
The city of Campbell is south of San Jose and borders it. It enjoys a lovely and popular downtown area along Campbell Avenue, clo
se to the Los Gatos Creek trail, parks and a par course, and also within a short jaunt to the Pruneyard Shopping Center. This part of the valley has both older homes (again dating back to the Victorian home era) as well as newer, and an added bonus is that the metro area’s light rail comes right into Campbell.
Find my Campbell Real Estate Market Update through the link.
(4) Los Gatos
A bit closer to the hills from Campbell is the town of Los Gatos, snuggling up to the base of the foothills. I have written about Los Gatos extensively on my Live in Los Gatos blog, as this is where I live. The downtown area is extremely beautiful and vibrant – and costly! As with most “urban living” areas, it’s much less expensive the further out you get.
View a slideshow of Los Gatos (and links to more slideshows from there) courtesy of Mary Pope-Handy.
Find my Los Gatos Real Estate Market Update and the Market Trends by Price Point and High School District through the links.
A little north of Los Gatos, Saratoga is also up against the coastal range so is very scenic. Saratoga is smaller and quieter, and many would say also more upscale. The schools in Saratoga are fantastic so most people moving there today do so for the schools. Prices are extremely high by Silicon Valley standards, but those who live in Saratoga will insist it’s worth it! The downtown area is lovely and full of wonderful places to dine as well as three for wine tasting.
Enjoy a slideshow of downtown Saratoga Village (photos and show by Mary Pope-Handy, link will open in a new window)
Find my Saratoga Real Estate Market Trends by Price Point and High School District through the link.
(6) Mountain View
If you love to dine out, you will find your way to Mountain View sooner or later! Like Los Gatos, the downtown Mountain View area is very vibrant and not terribly small. It’s right along the Cal Train route too so is a fabulous commute location for anyone going up the peninsula or to San Francisco.
Find my Mountain View Real Estate Market Update through the link.
(7) Palo Alto
Adjacent to Mountain View, and immensely expensive, is the very impressive city of Palo Alto. Home to Stanford University and some of the best schools in the nation, the downtown area also boasts wonderful eateries, shops, a classic movie theater, and much more. Everyone loves Palo Alto. The only trick is affording it!
I don’t do regular market updates for Palo Alto, but occasionally I will compare it to other South Bay markets. See Comparing cost of housing in West Valley communities from Palo Alto to Los Gatos to Blossom Valley: what will a 4 bedroom home cost?
(8) Santa Clara’s Rivermark Area
The city of Santa Clara destroyed its original downtown many decades ago, so the main part of that fine city unfortunately has a “generic American” look to it now, though there are some lovely residential areas with beautiful older homes. A few years back, a new neighborhood was designed and built at the northern part of Santa Clara near the bay (on the land formerly housing the Agnews Developmental Center): Rivermark (just off River Oaks Parkway). The area includes a big retail area with a grocery store, banks, shops and restaurants, a park, several types of housing (apartments, condos, townhomes and houses). There is a private school in the neighborhood, too. (The local public schools are not noted for high scores.) Most of the homes in the area were built between 2005 and 2009, so the neighborhood is very popular with those who strongly desire to buy new construction.
Find my Santa Clara Real Estate Market Update through the link.
(9) Santana Row
Like Rivermark, Santana Row is a newer development but this one is in a well-established area at the intersection of Winchester Blvd and Stevens Creek Blvd, right where the cities of Santa Clara and San Jose meet. This is San Jose’s answer to Rodeo Drive – it’s where you’ll find the Gucci, Brooks Brothers, Coach and other similar stores. The complex is mixed use with shops below and apartments, townhouses and condos above. It’s young, it’s lavish, it’s European feeling – so as you might expect, this upscale area is not inexpensive! Whether you buy or rent a home there or just spend a weekend (there is a hotel) or an evening, it’s a great place to hang out, dine, stroll, shop and people watch. A grocery store is a mere block away and a movie theater tops off the attractions here, so this neighborhood truly seems to have it all.
A description of Santana Row with Slideshow (will open in a new window) by Mary Pope-Handy.
Find my San Jose Real Estate Market Update through the link.
If you are moving to Silicon Valley, whether San Mateo or Santa Clara County, you should know that things are a little different in fall and winter than they are in spring and summer. Here are just a few areas that might not be intuitively obvious to the newcomers.
First, a word on appearance. In Santa Clara County, we have two primary sets of hills – one closer to the Pacific Ocean and Monterey Bay (west side), and one closer to central California (east side). Because our local weather is dominated in very large part by the Pacific Ocean, much of the weather blows in from the coast. A lot of the rain gets dumped in the coastal range, also known as the Santa Cruz Mountains. Less makes it all the way to Los Gatos, less still to downtown San Jose, and a much smaller amount to the east foothills and places such as Alum Rock Park. The coastal range (also called just “the hill” by locals) is green year round as it is full of redwoods and other trees which love the moisture. The east side, though, is more grassy, fewer trees, and gets far less rain. In winter the grasses are a lovely green. With drought or in summer, however, the grass turns brown or pale yellow.
For people coming from the east coast, the hills there are more likely green in summer and brown in winter. Here, though, it is the opposite. We don’t usually get rain in summer, so the grasses die and the hills go brown.
Rain, when we get normal patterns, usually begins in November and comes and goes between then and late April. In a typical year, San Jose gets 15-20″ of rain (Los Gatos more, the Los Gatos Mountains much much more). If we get an El Nino pattern year, temps will be warmer than usual and rain will be much more common than typical. It’s not much fun to have an El Nino year, but right now we desperately need the rain, so folks here are all hoping for it.
Second, a word on roads and travel. Silicon Valley enjoys a sub-tropical climate with mild temperatures and not too much rain, even in a normal year. With very little rain most of the time, our streets and highways can develop a dusty, oily film. Whenever we get rain after a dry spell, those highways and roads can be slicker than you might expect. It’s not that we need a ton of rain for the surfaces to become more slippery, either. A very small amount of precipitation can do the trick, so be careful!
If your destination requires going over “the hill”, be triply careful! Too many people, whether regular commuters or first time adventurers, either tailgate or drive too fast, and it can make it too easy for accidents to happen when a little weather is added into the mix. (more…)
One of the many lures to the San Jose area and Santa Clara County generally is the fairly close proximity of the beach at Santa Cruz, Capitola, Rio del Mar, and other scenic places that line the Monterey Bay. From most of Santa Clara County, it’s under a one hour drive. If you live in Los Gatos, it could be just half of that. That said, not all days are created equally when it comes to beach traffic. Go on a regular weekday in summer and it’s pretty much a piece of cake. Go on a weekend or holiday and it’s a whole other matter.
Capitola Beach as seen from the Pier – photo by Mary Pope-Handy
Most of the locals know this about holidays or weekends and the shore: go early or don’t go.
How early is early enough?
If you want to get over the hill before it’s stop and go traffic, I suggest 9:30am or earlier. It can be backed up as early as 9:30 or 10. Coming home from the coast, the line of cars may move sluggishly as early as 3 or 4pm if the fog rolls in early.
If you go early, you can enjoy breakfast with a bay view in Capitola on the esplanade. Or hit wonderful Gayle’s Bakery in that same town with some piping hot coffee before taking in a walk at the coast. Sometimes there may be a marine layer (fog), but it usually burns off by late morning. The beach will be fairly quiet if you arrive before the crowds. Or go a little later and have an early lunch at the Crow’s Nest at the harbor. Play in the surf and sand and return around 3:30 or so, and it will be a lot easier than a 5pm trek across the Santa Cruz Mountains.
Related reading on MPH’s other sites:
Spending Summer Days In Santa Cruz? Some Tips & Favorite Places to Share (Valley of Heart’s Delight blog)
Beach towns in Santa Cruz County (from popehandy.com)
On another of my websites, I wrote about congestion and traffic patterns on Silicon Valley highways and roads. For many transplants to the San Francisco Bay Area and especially the Peninsula and South Bay areas, traffic is an enormous consideration on where to live and how much to pay for real estate.
If this is a topic that interests you, please take a look: