November 28th, 2012
When it comes to purchasing an affordable home, location really does matter, a new study finds.
The results of the most recent Coldwell Banker Real Estate Home Listing Report finds a $1.6 million difference between similar homes in the San Francisco Bay area and the Midwest. For example, the average price of a four-bedroom, two-bathroom home in the Bay area is currently $1,706,688. For a similar home in Redford, Michigan, the average home price sits at $60,490. Overall, the average for a four-bedroom, two-bathroom home across the country is $292,152.
“The success of many of our native tech companies has shined a spotlight on Silicon Valley and our real estate market in the San Francisco Bay Area,” said Rick Turley, president of Coldwell Banker Residential Brokerage. “Listing prices in our market are a product of ongoing high demand, projected population growth and the low inventory levels of homes in what is one of the most desirable locations to live.”
Home prices will vary based on a number of factors, so working with a mortgage consultant to strike a balance between neighborhood amenities and affordability can help buyers avoid overpaying for a property.