Here’s how many Bay Area homes Lyft employees can buy with IPO cash
Mar 29, 2019
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https://www.mercurynews.com/2019/03/29/heres-how-many-bay-area-homes-lyft-employees-can-buy-with-ipo-cash/
Unlike New York City, which responded to increased wealth and demand from a growing economy by building taller buildings, San Francisco and the Bay Area, in general, has not. Between 2011 and 2017, the region added some 531,000 jobs but built only 124,000 new single-family homes, condos or townhouses, according to the Building Industry Association of the Bay Area.
But no matter how many people leave, one thing is clear, Fairweather said: “Prices will go up in San Francisco. I would bet money on that.”
Here's how many Bay Area homes Lyft employees can buy with IPO cash
The Mercury News
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There is shortage of housing and these IPOs will pump money into tech people’s pockets.
On the other hand it’s super risky if the stock drops since they’ve locked themselves into roughly a $6500/mo mortgage assuming $1.5MM purchase price and 20% down. If you’re buying a home in the Bay Area and not at the director level, you likely need to liquidate some shares every month to comfortably pay the mortgage and other living expenses.