The city of Oakland witnessed a major growth in the 20th century because of its shipyards, busy port and a booming automobile industry. After the 1906 San Francisco earthquake, several San Franciscan residents relocated to Oakland. This led to enlarging of city’s population, elevating its housing market and improvement of infrastructure.
Even in the present day, Oakland is a transportation center for the greater Bay Area. Its shipping port is the fifth busiest in the United States. Also, this city by the bay is repeatedly listed among the top cities in the United States for sustainability practices. It ranks first in using electricity from renewable resources. Driven partially by changing perceptions and partially by a tech boom, people of San Francisco, are yet again, moving in to Oakland. This has made real estate in Oakland an amazing opportunity.
According to market data, Oakland’s real estate sales were up by 31% in the year 2012. The market is prolific for selling a home here. When houses are put up for sale in Oakland, they have historically sold very quickly. A recent report claims that houses remain on the market for an average of only two weeks before they are sold to the buyers. As a result, houses in Oakland often attract several offers and also get sold for more than the marked price, according to Leslie Appleton-Young, the chief economist for the California Association of Realtors.
In most areas of Oakland, the housing supply is tight, all thanks to real estate investors who comprise of about 20% of Oakland’s real estate market. Most investors now keep the homes and rent them out. They skip fixing them up or trying to resell like in earlier days.
Despite the cut-throat competition for real estate, prices for houses are still down from their mid-2006 peak. Thus, Oakland, the major metro in California area is projected to see the biggest rise in home prices in the year 2014. All these factors make Oakland a hot market for housing and real estate.