Sharp homes don't stay on the market long enough to build up an inventory. You will find much less competition there. Dataquest predicted today that there will be 82 million personal computers connected to the Internet by the end of 1997, an increase of 71 percent from 1996. . A close look at the above numbers projected by Dataquest for Internet-related growth gives us a good idea why so many financial experts are predicting several years of boom times here in Silicon Valley. We are, after all, the hub of the Internet.
Home prices are well above the bottom of a few years ago.
Even though the market cools a bit each autumn, another significant surge in prices can be expected every February - May for the next several years, even if we experience a mild recession along the way. Because of so many high paid employees being relocated to Silicon Valley, average home prices can go considerably higher before reaching a balanced market of available buyers versus available homes. California Residential Property Taxes . When you buy any home in California, the annual property taxes are reassessed to about 1.25 percent of the purchase price. Property taxes are deductible, just like interest. .