This week, investors are eagerly awaiting Apple’s earnings report, which comes out on Tuesday. But for those in the Bay Area who don’t own Apple shares, favorable revenues still signify something important: Housing prices might be going up soon.
A Wall Street Journal report on housing prices looked at neighborhoods in San Francisco and San Jose with high proportions of Apple employees to see whether they drive up home prices nearby. Using Census data and housing statistics from Zillow, the report concluded that the prices in neighborhoods where workers at Apple’s Cupertino headquarters tend to live rise much faster—especially when the company’s doing well.
In 2010, the difference between the price of the median Apple worker’s home and the median San Franciscan’s home was about $150,000 in 2010. This year, it is close to $400,000. The Journal only studied this phenomenon for Apple employees because running the same analysis for other companies was too resource-intensive. Apple’s employees obviously aren’t singlehandedly responsible for these changes, but they are emblematic of other tech companies’ workers’ presence in the city.
The median household income in San Francisco County is $75,604, but according to one report, tech workers in the Bay Area have a median wage of over $123,000. The tech industry has been credited for 30 percent of the San Francisco’s job growth since 2010, with tech employees making up an estimated 8 percent of workers in the city in 2013.