Like New York, the San Francisco metro area has just about run out of space to build on. Cut off on the west by the Pacific and from most of the mainland by the Bay, any homes near the metro area's core are pricey.
Despite the cost, people want to live there. The population has grown about 13% since 2000. That puts pressure on already scarce housing resources, which is why home prices never collapsed the way they did in more volatile California cities. Lately, they've been climbing again, up 18% in the second quarter compared with three months earlier.
With home prices so high, it's good that area residents are so well compensated at their jobs. The median income is an eye-popping $103,000.
