Preconstruction Properties in Silicon Valley (San Jose, Menlo Park, Palo Alto etc.) and the bar area in general

[Vishak Ganesh]

Hello all,

I will be moving to San Jose, CA in September of this year and would like some information on buying (as owner occupant) and investing in preconstruction residential properties (i.e. Condos and SFRs).  

I currently own and invest in SFRs primarily in Georgia and have a very limited understanding of the SV/SF market. Any insights from the knowledgeable BP community would be helpful.  With that said, has anyone invested in any of the following areas:

1. San Francisco

I spoke with several brokers in the SF market and got the impression that SF operates differently than the rest of the Valley. The prices, the contract flexibility, appreciation, sq footage etc.

2. San Jose and surrounding areas

Could someone give me a very broad range of prices and frequency of new construction projects around 30-50 sq. miles around downtown San Jose.  

In this area, what are the prices for condos and SFR (preconstruction)?

How long does a typical project take? For highrise (or other types of residential construction) and SFR?

General Questions

If you want to purchase townhomes or condos, is buying via preconstruction a good option?

Will it help you avoid the bidding wars that seem to take place with older properties?

I also welcome any other comments you guys may have buy and hold investment strategies in the SV market.  

Thanks!

-V