patrick.net

The logic doesn't quite work though.

Milpitas smells the same way to renters as it does to buyers.

Sometimes its the algae coming from inside the bay.

Milpitas is cheap because nobody wants to buy there.

If you had a job in Silicon Valley, you'd be home by now ...

Lectrician says

If you had a job in Silicon Valley, you’d be home by now …

If you had a job in SV and worked there long enough, you would enjoy the 30-60 min drive home listening to some tunes and destressing. Stress is a big killer around here. I picked Los Gatos to be as far away form work as possible.

The smell in Smellpitas is from:
1. The GIANT landfill by Dixon Landing Road, west of I-880
2. Rotting algae and vegetation from the marshes
3. The smell of desperation from underwater speculators

Also depends on if you are standing downwind from a realtwhore.

The logic doesn’t quite work though.
Milpitas smells the same way to renters as it does to buyers.

I might rent somewhere stinky if I knew that when I couldn't stand it anymore, I could leave. Harder to do that when buying :-)

Low end crashed after the Investors exhausted them selves buying them up for 70K++ then painted them and tried to replace them on the market for 225K for a good portion of 08-10. A lot of good men lost a lot of money thinking they found something the Bubblers missed.

The Low end market is there, it is on solid firm ground, with those Air traffic controller Orange cylindrical flashlights, showing the upper bourgeoisie homes where they need to land.

You can fool the people with Money but you can't fool the free market.
Either jobs and good paying higher end jobs return to this country quickly. Or 300-400K will be the upper cap on most gated communities that boast heaping McMansions. More than that, you can expect a "Estate" with Grounds, Quaters, Gardens, staff perhaps...

I think America confused Reality with Hip Hop Videos from the 90's and 00's. Not everybody can afford to be a jetset baller, with bling and large phat pads. Not even Rappers that fall out of fashion. They are the first to end up back in an Apartment building, with the rest of the mooks.

Large estates take planning and long term security that only 2 to 5% of the population can guarantee.
Everyone else is just one bad meeting away from realizing just how Financially embarrassed they really are.

Tenouncetrout says

Either jobs and good paying higher end jobs return to this country quickly. Or 300-400K will be the upper cap on most gated communities that boast heaping McMansions.

Right on. I have been trying to convince the bulls on this line for a long time.

Mr.Fantastic says

South San Jose is great. Buy now or be priced out.

This is why poor will always be poor. First thing they do with saved money is give it all away to the bank for a "privilege" of living in a slightly bigger drywall/wooden box.

Mr.Fantastic says

Well, also because a lot of poor people lack hope of upward mobility so they tend to linger in their current “secure” circumstances even if that means $38,000 a year.

You mean they lack either any productive skills or gumption that can bring them out of their current low wage job, then you are right. When you try to declare that every menial job is a high paying job, or create high paying Nephew jobs, in a sector that does not add value to our societal capitol. Then it's not long before you have the Great Bubble scenario, where not only house prices crashed, but it put a lot of people in the finance and RE sector that was used to making artificial wages(based on a manipulated market), having to get jobs as WalMart greeters.

People will chug along just fine, at less than 38K. That's a good paying job for a large portion of the population. I doubt anyone you see in you day to day dealings with Big Box retailers, and Corporate Food, and Conglomerate Grocers. Most of those people aren't making anything near $17 an hour. Most non official office personnel don't make $17 an hour.
At any rate, people get along just fine and justify their living conditions and lifestyle accordingly. Eventually or not, they figure out their niche and create their own betterment, "Pulling them selves up by the Bootstrap" as it were.

But this is VERY important, a healthy economy needs a great mix of these niches, and if they are all in the same sector, then there isn't any growth at all. It's just a bunch of people passing bills back and forth to each other.

Mr.Fantastic says

It’s hard to “pull up your bootstraps” when there are ten people in front of you that have MBAs, and other advanced degrees that you weren’t able to acquire during “greener” times.

You are wrong, it was the easiest thing I ever did. The route, and the chances I took, gave me more experience than most of your run of the mill MBA's. I was driven after years of busting my ass in the Flooring business. The Majority of kids with degrees, that degree is the breadth of the abilities. I can bury their resumes in an interview.
I have physical and practical applied experience I can abstract and come up with solutions, that books and degrees don't cover. You only learn, by being there, done that.

Nor do I assume that niches are anything to compete with anyone of any degree. That's the Damn problem too many "Monkey See, Monkey Do" clueless people, with or with out degrees. Trying to reinvent what barely works. You don't need a degree or compete with those with degrees, to innovate and improve existing ides, invent new ideas, be an entrepreneur, get an Experience promotion in existing line of work.
Either by being recognized by your current employer, or going to a competitor that will gladly pay you more for your wealth of knowledge. When you Easter Egg hunt, do you trail along behind the search Mob, or do you go off on your own direction?