Connect with us

California

Woman berates wealthy California tech workers for moving to her city and inflating its housing market: ‘Real estate is cooked’

Published

on

Woman berates wealthy California tech workers for moving to her city and inflating its housing market: ‘Real estate is cooked’


A TikTok user lambasted California tech workers for invading her city, leading to inflated prices and a low supply of homes.

In a clip that has racked up over half a million views, Austin native Dani berated those who fled to Texas during the pandemic and bought up cheap homes, which they later demolished, turned into pricey Airbnbs or flipped for a profit.

She placed most of the blame on people who fled the Golden State, lured in by the low cost of living and absence of a state income tax.

‘They’re trying to sell houses for crazy, crazy inflated prices, and that’s not going to work,’ Dani said.

Advertisement

The housing market, she lamented, was ‘cooked’. 

She placed the blame on those who fled to Texas during the pandemic and bought up cheap homes to rent as Airbnbs or flip for a profit

Austin native Dani berated California tech workers for ‘cooking’ the housing market in her home city. She placed the blame on those who fled to Texas during the pandemic and bought up cheap homes to rent as Airbnbs or flip for a profit

Last June, Austin's rentals ranked among the most expensive in the country (pictured: an Airbnb listed in May 2024 for $3,942 per night)

Last June, Austin’s rentals ranked among the most expensive in the country (pictured: an Airbnb listed in May 2024 for $3,942 per night)

Dani said many new arrivals were leaving amid sweeping tech layoffs, without much of a return on their housing investments (Pictured: an Airbnb listed in May 2024 for $3,920 per night)

Dani said many new arrivals were leaving amid sweeping tech layoffs, without much of a return on their housing investments (Pictured: an Airbnb listed in May 2024 for $3,920 per night)

Austin had the highest net inflow of tech workers of any major city in the United States from May 2020 to April 2021, according to LinkedIn user data.

And while it is debated whether there was a significant ‘exodus’ of Californians into Texas – studies from the University of California determined otherwise – San Francisco saw a sharp increase in people leaving.

A March 2021 policy brief from the California Policy Lab concluded that departures from the city in the second through fourth quarters of 2020 were 31 percent higher than during the same period in 2019.

And data from the U.S. Census Bureau shows that California lost 75,423 residents in 2023, following a steady pattern that began during the pandemic.

Advertisement

Dani’s claim about skyrocketing Airbnb prices holds some weight as well. Last June, Austin’s rentals ranked among the most expensive in the country.

A study by ChamberofCommerce.org found that rentals in the city boasted an average daily rate of $373 across all property sizes. An average one-bedroom rental in Austin cost $127 per night, while two-bedroom properties averaged $203.

In her viral TikTok, Dani also pointed out that residents, including those who arrived during the pandemic, are now leaving the city amid a turbulent tech job market.

‘We’re having a ton of tech layoffs – this city’s economy is based in tech, so a lot of people are moving away,’ she said.

Tech companies have historically maintained a foothold in the Texas capital (Pictured: the original Apple campus at 5501 West Parmer Lane in Austin)

Tech companies have historically maintained a foothold in the Texas capital (Pictured: the original Apple campus at 5501 West Parmer Lane in Austin) 

Tesla opened its 'Giga Texas' factory east of the city in April 2022, but now plans to lay off 2,688 workers beginning in June

Tesla opened its ‘Giga Texas’ factory east of the city in April 2022, but now plans to lay off 2,688 workers beginning in June

Austin has long been hailed as a pioneer of innovation, beginning with the genesis of IBM and Texas Instruments in the 1960s. It is the birthplace of Dell, which went on to become one of the largest computer manufacturers.

Advertisement

Despite concentrating in Silicon Valley and the Bay Area, tech giants have also maintained a foothold in the Texas state capital.

Google leased Block 185, a sail-shaped skyscraper on the bank of the Colorado River, in 2019. The company was supposed to move in sometime this year, but the timeline hangs in the balance amid sweeping layoffs.

Apple, meanwhile, shows no signs of slowing down after quietly leasing an entire office building in the Westlake neighborhood. This followed a $240 million investment in its North Austin campus, which is set to open in March of next year.

Auto manufacturer Tesla opened its ‘Giga Texas’ factory east of Austin in April 2022, but now plans to lay off 2,688 workers beginning in June.

Companies including Apple and Tesla were offered packages worth tens of millions of dollars in property and payroll tax reimbursements as an incentive from the city. However, that may not be enough to get them to stay.

Advertisement

After relocating its corporate headquarters from the Bay Area to Austin, business software and services company Oracle has plans to move out.

As tech companies leave the city, so do their workers – and few are seeing much of a return on their housing investments. 

Home prices in the city increased 60 percent from 2020 to 2022, and despite seeing an 11 percent drop in 2024, the prices remain near record-high levels.

The initial influx of newcomers during the pandemic also sparked the construction of apartments. There has been so much of it that rental rates decreased in Austin by 7.4 percent since last year.

These conditions make it even more difficult to sell property, Dani pointed out, as many would rather rent an apartment than shell out considerably more to buy or lease a home.

Advertisement

‘This is what you get for trying to take advantage of people who are just trying to buy in their city or their state that they’ve lived in their whole life,’ she declared.



Source link

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

California

Lights back on after power outage in parts of Southern California

Published

on

Lights back on after power outage in parts of Southern California


Lights back on after power outage in parts of Southern California – CBS Los Angeles

Watch CBS News


Several cities in Southern California experience power outages on Christmas Eve night. Crews worked around the clock to restore power to residents just in time for the holiday morning.

Advertisement

Be the first to know

Get browser notifications for breaking news, live events, and exclusive reporting.




Source link

Advertisement
Continue Reading

California

How California’s high-speed rail line will advance in 2025

Published

on

How California’s high-speed rail line will advance in 2025


California’s high-speed rail project, which aims to connect San Francisco and Los Angeles with a 494-mile route capable of speeds up to 220 mph, aims to continue construction in 2025.

Phase 1 of the project focuses on linking San Francisco in the north to Anaheim via Los Angeles in the south, with plans to extend the line north to Sacramento and south to San Diego in Phase 2.

The California High-Speed Rail Authority, which is overseeing the project says it has already generated significant economic benefits, including creating over 14,000 construction jobs and involving 875 small businesses.

But despite its transformative goals, the project remains politically contentious, with critics questioning its costs and viability. It has been in development since voters approved funding in 2008 and has faced delays, cost increases, and shifting timelines.

Advertisement
Composite image of trains and the California state flag. The state’s high-speed rail project will continue construction in 2025, despite Republican critics questioning its costs and viability.

Photo Illustration by Newsweek

Work Planned for 2025

In a statement to Newsweek, the California High-Speed Rail Authority outlined its planned work for 2025, which focuses on continuing construction in the Central Valley between Merced and Bakersfield.

The 171-mile segment between Merced and Bakersfield will be the first part of the line to be operational, with services expected to start between 2030 and 2033. Of that section, 119 miles are currently under construction.

Of the planned structures in the Central Valley section, 85 are underway or completed out a total of 93 on the segment. Work will continue on these structures as well as on the tracks capable of handling high-speed trains.

By the end of 2025, civil construction on the 119-mile segment currently underway is expected to be completed and construction will begin on the next stretches to Merced and Bakersfield.

In 2025, the authority also plans to advance design and begin construction on its stations in the Central Valley. It also expects to select a manufacturer for the trains.

Advertisement

Although the initial operating segment will only run 171 miles from Merced to Bakersfield, environmental clearances have been obtained for 463 miles of the 494-mile Phase 1 route, completing the stretch between San Francisco and Los Angeles. Only the Los Angeles-to-Anaheim section is still awaiting approval.

California High Speed Rail Map
A map showing California’s proposed high-speed rail network from February 2021. The initial operating segment, between Merced and Bakersfield, is expected to begin services between 2030 and 2033.

California High Speed Rail Authority

The Authority said it plans to publish its draft environmental impact report for the Los Angeles-to-Anaheim section in 2025, a key milestone for the eventual full-approval of Phase 1.

More than $11 billion has been invested to date, with funding sources including state bonds, federal grants, and proceeds from California’s carbon emission trading auctions.

The authority has not yet received funding to construct the segments westwards from the Central Valley to the Bay Area or southwards to Los Angeles.

Despite this, the authority said it was committed to pushing on.

“California is the first in the nation to build a true high-speed rail system with speeds capable of reaching 220 mph,” the Authority told Newsweek. “The Authority remains committed and aggressive in moving this historic project forward while actively pursuing additional funding.”

Advertisement

Political Opposition to the Project

Despite ongoing progress, the high-speed rail project continues to face political opposition, particularly from Republican leaders.

While President Joe Biden’s administration has invested billions in it since 2021, the incoming Republican administration, which will control the House of Representatives, the Senate, and the presidency, is unlikely to continue funding it at the same level.

Representative Sam Graves of Missouri, who chairs the House Transportation and Infrastructure Committee, has criticized the project’s costs and funding strategies.

In a statement to Newsweek, Graves described the rail line as a “highly troubled project” and raised concerns about its reliance on government subsidies.

California High Speed Rail Rendering
A rendering of one of the trains for California’s proposed high-speed rail project, which is currently under construction.

California High Speed Rail Authority

He pointed out that the current funding supports only a limited segment between Merced and Bakersfield, which he estimated will cost $35 billion.

“Full cost estimates [for Phase 1, between San Francisco and Anaheim] now exceed $100 billion and growing,” Graves said, calling for a comprehensive review of the project before any additional funding is allocated.

Advertisement

“California high-speed rail must have a plan and prove that it can wisely and responsibly spend government money—something it’s failed to do so far.”

The congressman stated that over the next four years, he would oppose any further federal funding for the California high-speed rail project.

Instead, Graves advocated for efforts to redirect unspent funds and focus on improving existing transportation infrastructure, such as Amtrak.

Graves also emphasized the need for private-sector involvement in future rail projects, citing Brightline’s operations in Florida and Las Vegas as a successful example of private investment.

While Graves acknowledged the potential of high-speed rail, he argued that the California project has failed to meet the necessary criteria for viability and local demand.

Advertisement

The authority told Newsweek it would engage with the federal government to seek other funding sources.

“We continue to explore strategies aimed at stabilizing funding, potentially allowing the program to draw private financing and/or government loans,” it said.



Source link

Advertisement
Continue Reading

California

Hawaii resident flies to California to clear name from identity theft

Published

on

Hawaii resident flies to California to clear name from identity theft


HONOLULU (HawaiiNewsNow) – A Honolulu man who had his identity stolen had to fly to California to clear his name. He acted quickly to stop his bank account from being completely drained.

Jamie Dahl said he’s speaking out because identity theft can happen to anyone and he’s not sure how his personal information was stolen.

“I’m still mystified how he pulled it off,” Dahl said.

In late November, Dahl found some fraudulent charges on his credit card so he ordered a replacement card.

Advertisement

Two weeks later, he says went to his online bank account with Bank of America and discovered his identity had been stolen. The hacker had account access for instant money transfers.

“My phone number is missing, my email is missing, my mailing address. I live in Honolulu. It’s Mililani,” Dahl said.

He knew he was in trouble.

Dahl said two days after his discovered his identity had been stolen, he had to fly to California to clear his name because there are no Bank of America branches in Hawaii.

He brought several forms of ID to re-authenticate himself.

Advertisement

“It was just an incredible ordeal,” he said.

“The bad guys are shopping just like everybody else for Christmas,” said former HPD Deputy Chief John McCarthy, who investigated cybercrime.

McCarthy says check your bank account daily and having a local bank is helpful.

“If you don’t have a local bank, you are that much father away. I’ve had problems with banks that are on the East Coast,” he said.

“It takes a day to communicate with them, a day to get a response. That’s a lot of damage you can do in 24, 48, 72 hours,” McCarthy added.

Advertisement

McCarthy says most banks have streamlined their re-authentification process so you don’t have to see them in person.

Hawaii News Now contacted Bank of America to find out their process and are waiting to hear back.



Source link

Advertisement
Continue Reading

Trending