There is no question that the COVID-19 pandemic is another strong force driving the insane demand that this market is currently experiencing. With many people now working from home either indefinitely or, in some cases, permanently, many are finding the need to set up an in-home office! In addition, with many kids still doing remote schooling, families are finding that their current spaces are cramped. Their current homes are no longer able to accommodate their families! We are seeing many families upgrading their spaces to larger homes that offer the space they now need.
3. Migration to suburban areas
In the North Bay area where I am located, we are about 45 minutes to San Francisco and just a little over an hour from the Silicon Valley. We are experiencing a large number of people choosing to move towards our more suburban area from places like the Bay Area and Silicon Valley. With the realities of the world we’re in, many people just do not want to pay the high price of living in a big city such as San Francisco!
With many tech companies now having their employees work remotely, there is really less reason for many of those families and individuals to live in those bigger cities. Plus, people just want more space! And many are no longer looking to commute or use public transportation in light of COVID-19.
Prior to the pandemic, droves of people were heading to the city so they wouldn’t have to commute to work! I remember hearing about owners renting out tents in their backyard because the demand for cheaper housing in those areas was so high and so hard to find! But those areas come with bigger price tags! With the ability to work wherever someone wants, many are now seeing the value of buying a property with a larger home and more lot space for a fraction of the cost!