“I’m kind of worried — a thousand millionaires are going to be buying houses!” says one buyer looking for a home in the area.
Silicon Valley is the home to Facebook, and with Facebook shares soon to be sold to the public, Facebook employees are expected to see a big jump in their paychecks.
Just the anticipation may send home prices higher, The New York Times reports.
Ken DeLeon, a Silicon Valley real estate agent, says the signs are already there: More homes last month sold for more than their asking prices, and by significant amounts above the asking price too.
DeLeon says he plans to market his real estate services to Facebook employees by purchasing ads — of course, on Facebook.
He expects some sellers will keep their homes off the market until the Facebook rush happens, although he says some investors may want to get a jump on the market by buying up homes now that they plan to tear down and rebuild.
Already, eight of the country’s 20 priciest housing markets are in Silicon Valley or the Bay Area, according to a 2011 Coldwell Banker study.