Move over, Silicon Valley, because there are some new tech hubs gaining clout. And where the technology industry goes, real estate booms are sure to follow.
The tech boom in Silicon Valley has prompted more U.S. cities to focus on attracting new jobs in the industry, but these are places where most Americans can also afford to live comfortably, according to realtor.com®. The number of people moving to Silicon Valley has dropped by 27 percent between 2012 and 2015, according to Joint Venture Silicon Valley, leaving the door open for other places to attract new residents.
“Silicon Valley is still the hub it’s always been,” says John Reed, senior executive director for Menlo Park, Calif.-based tech recruiting firm Robert Half Technology. “There are other markets, though, that are bringing on tech professionals at a greater pace.”
Boston, Seattle, and Denver are already known as major tech meccas, but their home prices have escalated as well. Realtor.com®’s researchers set out to find the next tech hubs that also offer housing affordability. The team ranked the 500 largest U.S. cities using factors such as percentage of employment in the tech industry, job openings in the tech field, number of startups based there, and housing affordability (based on 28 percent or less of an average engineer’s salary).
The following places topped realtor.com®’s list:
1. Austin, Texas
- Median home price: $392,000
- Average salary of engineering jobs: $87,600
- Median home price: $349,900
- Average salary of engineering jobs: $85,000
- Median home price: $280,000
- Average salary of engineering jobs: $84,600
4. Raleigh-Durham, N.C.
- Median home price: $330,000
- Average salary of engineering jobs: $87,500
- Median home price: $179,900
- Average salary of engineering jobs: $74,800
- Median home price: $299,900
- Average salary of engineering jobs: $85,100
Source: “Silicon Valley Shake-Up: These Are the Next Top Tech Towns,” realtor.com® (April 24, 2017)