He Money, RTO FULL SF Real Estate Boom: ‘It”s Going to Rain Money’

The one bom has lit a fuse under san francisco’s housing market, with prices and rents inflammed by a tech workforce increasingly returning to the office, and as the talent wars saladies to diezying highs.

Tech workers are flocking to the bay area to work at Openai, Anthropic, and Nvidia after the region was dealt a massive blown during the Covid-19 Pandemic. Real Estate Agents Say RTO is fueling the resurgence, with it being particularly synonymous with in-person work and hardcore. What’s More, Tech Workers, Especialy Those Working in He, Are Commanding Massive Salaries, Including Multimillion-Dollar Compensation Packages.

The salary Needed to affford a home in the san jose metro area – which encompasses Silicon Valley and the Headquarters for Meta, Google, and Nvidia – Crossed the $ 400,000 Threshold for the First Time in April 2024, Said Daryl Fairweather, Redin’s Chief Economist – ” Amout of Money Unless You Work in He, and Those Salaries Are Probably More Common. ” This Makes It The Most Expensive Metro Area in the US. Home Price in the San Jose Metro Area Area Are Up 3% Year-Over-Yyar, Acciting to Redfin.

While Big he companies like openai and anthropic aren’t public, Employees Can Tap Equity During Stock Sales on the Private Market.

One Former Openai Employee, Who Requested Anonymity to Speak About Personal Matters, Told Business Insider They Purchased a home in San Francisco During the Company’s Last Tender and Knew of Aters Who Did the Same.

“It ‘definitely the popular move, and People are talking about it again,” They Said.

The Luxury Housing Market in San Francisco is Also Setting Records. More homes sold above $ 20 million in the City LAST YEAR THAN EVER BEFORE, ACCIVING TO Sotheby’s 2025 Mid-Eyar Luxury Outlook ReportWhich Its International Realty Chief Marketing Office, A. Bradley Nelson, Attributed Larry to AI’s Rise.

Another Bay Area County, San Mateo County, Nestled BetWeen San Francisco and Silicon Valley, is Seeing Record Prices for Single-Family Homes-$ 2.6 Million on Average This Year, Acciting to mls data. This Boom is fueled by all of the rise of he and the Strengh of the Stock Market, Said Raziel UNARA, A SAN MATEO COUNTY REAL ESTATE AGENT WHO HAS WORKED WITH BUYERS WORKING AT ORACLE, and Apple.

“There’s Been so Much Wealth That’s Been Created in the Last Few Years, in Particular in the Valley, That’s Pushhed Our Prices Higher,” Ungar Said.

He Workers Adapt to Newfound Wealth

San Francisco Real Estate Agent Ruth Krishnan Has Workhed With Several Openai Employees Who Have Cashed Out Tenders to Makes Down Payments on Homes, Said.

Krishnan Likened the Current “Level of France” to the period before Facebook IPO in 2012, with homeboying anticipation fueling rapid transensions and swhats on eAch propspets.

With News of Openai’s Latest $ 10.3 Billion Secondary Share Sale“It”s Going to Rain Money in SF,” She Said.

He Workers Are Quickly Adapting to Newfound Wealth. A Second Form Openai Employee Said that we have first moved to San Francisco, They Lived in a Group House and Paid Roughly $ 1,200 a Mont Rent. Now, Formal Frequent Michelin-Started Restaurants and Wear Luxury Goods.

“Have Massive Bag Collections, they have upgraded their houses, and everything,” The Second Employee Said. “It Feels more like a normal tech company or a Kind of Like Finance in Some Ways.”

The Rental Market is Rocketing

The Rental Market is Also Rocketing. RENTS ACOSS The San Francisco Metro Area Area Up About 5% Since Last Year – Double the Pace of National Growth, A Zillow Representative Told Business Insider.

Apartment hunters are handing out “Tenant résumés” at Packed Showings, Making Offers Site Unseen, Offers Several Months of Rent in Advance, or Coming in Thousands Over the Price, The San Francisco Standard Previously Reported.

In Terms of Specific San Francisco NeighBorhods, Mission Bay is Central to He Activity, Krishnan Said, while the Hayes Valley NeighBorhood has Been Dubbed “Cerebral Valley.”

Other Desirable NeighBorhods for Those in the Field Include South Beach, Dogpatch, Potrero Hill, The Mission, Noe Valley, and Bernal Heights, Krishnan Said.

More cautious buys than in past tech booms

Despite their Eye-Popping Salaries, The Average he homebuyer tend to be more pragmatic, real estate agents said.

They’re “Data-Driven and Decisive,” Said San Francisco Real Estate Agent Danielle Lazier, Adding that Mary Clients “Model Payments, Taxes, and Micro-Market Evaluations with Large Language Models before Touring.”

While the single-family Home market is “on fire” and condos are “Perking up,” lazier said a full pre-covid recovery hasn’t yet been attained.

Krishnan aggregated that buyers in he aren’t “Going crazy,” adding that a typical purchase ranges from $ 2 million to $ 4 million – still a staggering sum. The he wave is nascent, and while many of her clients are Young, they’re aware of past tech busts, she said.

“They’re Being Very Cautious About What If This Doesn’t Last Forever,” She Said.

“They’ve Heard of People Who Thought that they have all this Money said disappeained, and it seames to be top of mind, actually. So they not overspending. They’re cautiously spending.”