San Ramon new construction statistics are a far cry from their heyday during the early 21st century in California, but a recent report in the Mercury News indicates an uptick in demand.
According to the California Building Industry Association, the Bay Area is leading the Golden State in construction, which is up 20 percent from last year. As as a result of this demand, San Ramon new construction projects could be revived thanks to the interest of real estate investors in new homes.
There are several factors at play that point to this renewed demand. Low mortgage interest rates are the number one factor, followed by an improving job market in Silicon Valley.
The financial success of local tech giants like Apple, Facebook and Google has led some Wall Street analysts to declare the advent of the Dot-Com Bubble 2.0, which in turn has created more job openings in Silicon Valley and the Bay Area.
Many employees of the tech industry sector enjoy handsome salaries that allow them to be a bit more discerning when it comes to real estate, and to that end many of them are in the market for new homes.
It’s not just house hunters who are looking for new homes. Real estate investors who are looking to enter the red-hot rental market are looking at new construction as a solution.
The Ryness Company, a provider of services to the home building industry, recently issued a report that indicated a 44 percent increase in sales of new homes across seven counties in the Bay Area, and national home builder Toll Brothers has been busy scooping up new land in Contra Costa. Toll Brothers specializes in developing planned single-family home communities.
Construction workers eager to return to work in the Bay Area are also paying close attention to new developments.