If you read CNN Money, then the answer if you live in the San Francisco Bay Area, is “yes.”
In this article, they highlight five US cities where Income trends and development restrictions have made each of them safe bets for investors.
San Francisco takes the top honor, with an annual average home appreciation (from 1949-2006) of 4.2%. The other cities rounding out the top five are Los Angeles (3.7%), Seattle (3.2%), Boston (3.0%), and New York (3.0%).
If developers were allowed to go all out with building on San Francisco's Treasure Island, Presidio and the Marin Headlands across the Golden Gate Bridge, the price of housing would fall close to the cost of construction. But those pristine natural amenities are the product of one of the most anti-development political cultures in the country - and a perennial magnet for the highest earners.
So this obviously begs the question: who’s at the bottom of the list? In terms of cities where median home prices are expected to drop the most in the coming year, they are:
Stockton, CA -9.7%
Merced, CA -8.9%
Reno/Sparks, NV -8.9%
Fresno, CA -7.9%
Vallejo/Fairfield, CA -7.8%
Las Vegas, NV -7.1%
Bakersfield, CA -6.6%
Sacramento, CA -6.4%
Washington, DC -6.3%
Tucson, AZ -6.2%
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