What Happens When Tech Workers Come to Town

© Provided by CNBC
© Provided by CNBC

Technology workers are increasingly looking beyond Silicon Valley for a place to call home, eyeing cities like Seattle, Denver and Austin, Texas, as their companies open new offices across the country. And it’s impacting housing prices.

When technology workers enter a metropolitan area’s real estate market, housing prices are likely to increase, according to a recent study by real estate company Redfin.

For every 1 percent increase in technology workers, there’s roughly a half percent rise in home prices above the national rate of appreciation, the study found.

The study tracked the hiring data of the four largest Internet-related companies—Google  (GOOGL), Apple  (AAPL), Facebook  (FB) and Amazon (AMZN)—in six metropolitan areas, including Silicon Valley. The hiring data from these companies were used as a proxy for overall technology hiring in the areas.

Seattle and Boston have the largest growth rates in technology hiring with a year-over-year increase in technology workers of 21 percent and 17 percent, respectively. As a result, Redfin believes that housing prices will increase the most in these areas.

It is important to note, however, that Boston only saw a 3 percent rise in year-over-year home price increases, despite having the second-largest uptick in technology workers. The authors attributed this discrepancy to people leaving Boston for warmer climates.

For now, Silicon Valley still holds first place for housing price inflation above the other cities surveyed at a 22.2 percent increase in year-over-year home prices.

But other cities are catching up. Denver saw an increase in home prices of approximately 17 percent, Austin 15 percent and Seattle 13 percent.

What’s driving housing prices up? Technology workers’ high salaries and their increasing wealth from stock-based pay.

Apple, Facebook and Amazon have all seen stock appreciation at or above 25 percent since last June. Google saw a 4 percent depreciation, the study noted.

Because of their growing wealth, technology workers are often the ones driving bidding wars to new, groundbreaking levels.

“We always knew at a vague level that the expansion of the technology-driven economy was affecting the American city, but now we see by how much,” said Glenn Kelman, CEO of Redfin, in the report.

Written by Marguerite Ward of CNBC

(Source: CNBC)

$400,000 Homes in Coastal Cities

Summertime is here, and the beach beckons us, urging us to unwind. Warm sand and delicate ocean breezes offer an ideal setting for reaching a state of serenity.

Perhaps you’re on the hunt for a balance of fast-paced city life and beachy downtime. On the other hand, maybe you’re scoping out a more laidback coastal locale. The following 10 metropolitan area listings, all located in coastal cities and priced at approximately $400,000, cater to a multitude of preferences.

Miami, FL

965 NW 10th Ave, Miami, FL
For sale: $395,000

Miami, FL

© Provided by Zillow Miami, FL

Nestled in the historic heart of Miami amidst lush trees, this 3-bedroom, 2-bathroom minimalist home offers modern living in a serene oasis.

Seattle, WA

734 SW Austin St, Seattle, WA
For sale: $399,950

Seattle, WA

© Provided by Zillow Seattle, WA

With a sprawling deck overseeing countless treetops, this 3-bedroom, 1.75-bathroom home is a peaceful seaside retreat.

San Diego, CA

5605 Friars Rd UNIT 274, San Diego, CA
For sale: $380,000

San Diego, CA

© Provided by Zillow San Diego, CA

Ocean breezes reach this west-facing 2-bedroom, 2-bathroom condo, complete with granite countertops, stainless steel appliances, and a private fenced patio.

Portland, ME

205 Woodford St, Portland, ME
For sale: $385,000

Portland, ME

© Provided by Zillow Portland, ME

Built in 1900 and restored throughout, this 4-bedroom, 2.5-bathroom home is a New England coastal gem.

Boston, MA

29 Pinecliff Rd, Boston, MA
For sale: $375,000

Boston, MA

© Provided by Zillow Boston, MA

This 3-bedroom, 2-bathroom condo provides comfy city-by-the-sea living, with gleaming oak floors and a sunny breakfast nook.

Charleston, SC

490 Sanders Farm Lane, Charleston, SC
For sale: $379,900

Charleston, SC

© Provided by Zillow Charleston, SC

Oozing Southern charm, this 3-bedroom, 2.5-bathroom home boasts serious curb appeal with its double-decker porch and patriotic paint.

Providence, RI

44 Firglade Ave, Providence, RI
For sale: $379,000

Providence, RI

© Provided by Zillow Providence, RI

Built in 1920, this 3-bedroom, 2-bathroom bungalow provides modern updates while preserving its historical charm with original hardwood floors.

Galveston, TX

17402 Bristow Dr, Galveston, TX
For sale: $395,000

Galveston, TX

© Provided by Zillow Galveston, TX

Just steps from the beach, this 2-bedroom, 2-bathroom home is the epitome of coastal living, offering breathtaking ocean views.

Virginia Beach, VA

2100 Margaret Dr, Virginia Beach, VA
For sale: $394,500

Virginia Beach, VA

© Provided by Zillow Virginia Beach, VA

When it’s a lazy summer day and a beach trip isn’t on the agenda, this 3-bedroom, 3-bathroom home’s pool is the perfect solution.

New Haven, CT

165 Westwood Rd, New Haven, CT
For sale: $379,000

New Haven, CT

© Provided by Zillow New Haven, CT

This 4-bedroom, 2.5-bathroom colonial combines sophisticated historic and modern qualities, apparent in the crown molding, elegant fireplace, and recently remodeled kitchen.

Written by Sharona Ott of Zillow

(Source: Zillow)