East Bay leads Bay Area on gains in home prices during pandemic

The hot Bay Area real estate now sizzles in Contra Costa and Alameda counties, where home prices in 10 cities rose 25 percent in a year.

With remote work up and big city attractions down during the pandemic, home buyers have flocked to the East Bay suburbs, where bidding wars have brought record price growth, the San Francisco Chronicle reported,

Home prices grew the most in Union City, Dublin, Pleasanton, San Ramon and Danville, according to a Zillow survey of typical home prices in 99 cities across the Bay Area for a 12-month run ended on February 28.

A typical home in Union City last February was priced at $1.38 million, a 32-percent jump over the $1.05 million paid in February 2021. Prices in the Alameda County city of Dublin rose 31 percent to $1.4 million, while homes in Pleasanton rose 30 percent to $1.7 million.

“People like location,” Ronnie Escalante, a San Francisco-based Realtor, told the newspaper. “People also like quality of life. These are nice neighborhoods where … you’re in the middle of everything.”

In Contra Costa County, the year-over-year sales price growth was nearly as strong. In San Ramon, the typical home price rose 28 percent to $1.8 million in February, while the price in Danville climbed 27 percent to $2.5 million.

Other East Bay prices soared 25 percent or more, with typical homes in Livermore selling for $1.2 million, in Castro Valley for $1.3 million, in Oakley for $808,000, in Brentwood for $935,000 and in Fremont for $1.5 million.

Before the pandemic, people rented or bought homes in big cities such as San Francisco and Oakland for the access to restaurants, nightlife and museums. But as access to those draws dwindled during the pandemic, demand for urban homes did too, said Jeff Tucker, a senior economist at Zillow.

Now the suburbs, with easy access to BART and freeways, draw people seeking more space.

“The East Bay is looking attractive as a sweet spot where you’re close enough to participate in urban life, get to offices or hang out with friends but still your money goes further,” Tucker said.
The typical home in San Francisco rose 12 percent to $1.6 million in February. Meanwhile, the fastest growth in other Bay Area counties notchedTnankThan in Bolinas, in Marin County, where the typical home price rose 28 percent to $2.2 million, and in Emerald Lake Hills, in San Mateo County, where the price increased 24 percent to $3 million.

[San Francisco Chronicle] – Dana Bartholomew

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