Silicon Valley’s economy is beginning to really feel the pain (Mercury News). I think we’ve underestimated how manic everything got during the boom. Now we may be underestimating how bad it could get during the downturn.
You wouldn’t know that from the housing market, though. Three places in my neighborhood have “Sale Pending” signs in front. One has been pending for three weeks. But I gather all went for not much under the asking price — and those prices were drastically over what anyone would have even considered paying two years ago.
When the housing market crashes, I’ll know Silicon Valley is in real trouble.